[Federal Register Volume 60, Number 179 (Friday, September 15, 1995)]
[Rules and Regulations]
[Pages 47857-47858]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 95-22949]



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 Rules and Regulations
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  Federal Register / Vol. 60, No. 179 / Friday, September 15, 1995 / 
Rules and Regulations  


[[Page 47857]]


DEPARTMENT OF AGRICULTURE

Agricultural Marketing Service

7 CFR Part 922

[Docket No. FV95-922-1FIR]


Apricots Grown in Designated Counties in Washington; Temporary 
Suspension of Grade Requirements for Apricots of the Patterson Variety

AGENCY: Agricultural Marketing Service, USDA.

ACTION: Final rule.

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SUMMARY: The Department of Agriculture (Department) is adopting as a 
final rule, without change, the provisions of an interim final rule 
which temporarily suspended for the 1995 season only, the minimum grade 
requirements (Washington No. 1) for fresh shipments of the Patterson 
variety of apricots grown in Washington. The suspension will enable 
handlers of Patterson variety apricots to ship more fruit to the fresh 
market, taking into consideration the significant hail damage 
experienced by this variety during the growing season. This action will 
improve returns to producers of the Patterson variety of apricots. This 
rule was recommended by the Washington Apricot Marketing Committee 
(Committee), the agency responsible for the local administration of the 
marketing order for Washington apricots.

EFFECTIVE DATE: October 16, 1995.

FOR FURTHER INFORMATION CONTACT: Britthany Beadle, Marketing 
Specialist, Marketing Order Administration Branch, F&V, AMS, USDA, room 
2522-S, P.O. Box 96456, Washington, DC 20090-6456: telephone: (202) 
720-5127; or Teresa L. Hutchinson, Marketing Specialist, Northwest 
Marketing Field Office, Marketing Order Administration Branch, Fruit 
and Vegetable Division, AMS, USDA, 1220 SW Third Avenue, room 369, 
Portland, Oregon 97204-2807; telephone: (503) 326-2724.

SUPPLEMENTARY INFORMATION: This rule is issued under Marketing Order 
No. 922 (7 CFR part 922), regulating the handling of apricots grown in 
designated counties in Washington, hereinafter referred to as the 
``order.'' This order is 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 is issuing this rule in conformance with Executive 
Order 12866.
    This rule has been reviewed under Executive Order 12778, Civil 
Justice Reform. This rule 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.
    The Act provides that administrative proceedings must be exhausted 
before parties may file suit in court. Under section 8c(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 request a modification of the order or to be exempted 
therefrom. A 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 requirements set forth in the Regulatory Flexibility 
Act (RFA), the Administrator of the Agricultural Marketing Service 
(AMS) has considered the economic impact of this action 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 30 handlers of Washington apricots subject 
to regulation under the order and approximately 400 producers of 
Washington apricots in the regulated production area. Small 
agricultural service firms, which includes handlers, have been defined 
by the Small Business Administration (13 CFR 121.601) as those having 
annual receipts of less than $5,000,000, and small agricultural 
producers are defined as those whose annual receipts are less than 
$500,000. The majority of handlers and producers of Washington apricots 
may be classified as small entities.
    This rule finalizes the temporary suspension of the minimum grade 
requirements (Washington No. 1) for fresh shipments of the Patterson 
variety apricot for the 1995 season only. This temporary suspension 
allowed handlers of the Patterson variety apricot to ship more fresh 
apricots to the market due to the significant hail damage the crop has 
received.
    Section 922.52 (7 CFR 922.52) authorizes the issuance of 
regulations for grade, size, quality, maturity, pack, markings, and 
container for any variety or varieties of apricots grown in any 
district or districts of the production area. Section 922.53 (7 CFR 
922.53) authorizes the modification, suspension, or termination of the 
regulations issued under Sec. 922.52.
    Minimum grade, color, and size requirements for Washington apricots 
regulated under the order are specified in Sec. 922.321 Apricot 
Regulation 21 (7 CFR 922.321). Section 922.321 provides that no handler 
shall handle any container of apricots unless such apricots grade not 
less than Washington No. 1, except for shipments that are exempt from 
regulation. In addition, this section provides that, with the exception 
of exempt shipments, apricots shipped must be reasonably uniform in 
color, and be at least 1\5/8\ inches in diameter, except for the 
Blenheim, Blenril, and Tilton varieties which must be at least 1\1/4\ 
inches in diameter.
    This rule suspends the minimum grade requirements for fresh 
shipments of the Patterson variety of apricots for the 1995 season. The 
grade requirements for the Patterson variety will resume April 1, 1996, 
for the 1996 and future seasons. Color and size 

[[Page 47858]]
requirements for the Patterson variety will remain unchanged.
    The Committee met on May 11, 1995, and unanimously recommended the 
suspension of grade requirements for the Patterson variety. The 
Committee requested that this suspension be made effective by July 1, 
1995, since the harvest of the Patterson variety was expected to begin 
shortly thereafter.
    The Committee meets prior to each season to consider 
recommendations for modification, suspension, or termination of the 
regulatory requirements for Washington apricots which have been issued 
on a continuing basis. Committee meetings are open to the public and 
interested persons may express their views at these meetings. The 
Department reviews Committee recommendations and information submitted 
by the Committee and other available information, and determines 
whether modification, suspension, or termination of the regulatory 
requirements would tend to effectuate the declared policy of the Act.
    Information available to the Committee indicates that the Patterson 
variety of apricots experienced severe hail damage this season. The 
excessive damage was a result of location and stage of fruit 
development. The Patterson variety is the latest variety of apricots 
produced within the production area. Earlier varieties of apricots did 
not experience significant hail damage.
    This suspension will enable handlers to ship a larger portion of 
the Patterson variety to the fresh market this season, than if the 
minimum grade requirements were not suspended. Without suspension of 
the grade requirements for the Patterson variety, most of the fruit 
could not be shipped to fresh markets. Last year, 151 tons of the 
Patterson variety were shipped into the fresh market. Information 
available to the Committee indicates that with suspension of the grade 
requirements for the Patterson variety, approximately 125 tons might be 
shipped to the fresh market. Since the Patterson variety is the latest 
variety of apricots shipped within the production area, the suspension 
of the grade requirements for this variety should not adversely affect 
the marketing of other varieties.
    Suspension of the grade requirements for the Patterson variety is 
intended to increase fresh shipments to meet consumer needs and improve 
returns to producers.
    The interim final rule concerning this action was published in the 
June 22, 1995, Federal Register (60 FR 32429), providing a 30-day 
comment period ending July 24, 1995. Two comments were received 
concerning the interim final rule.
    Comments were submitted by Gene Stokes, general manager of the 
California Apricot Advisory Board (Board) and Steve Hash, Vice 
President of the Agricultural Division of A. Levy and J. Zentner Co., 
and member of the Board as well. Both contend that the Board is opposed 
to the temporary suspension of grade requirements because it would 
adversely affect the California fresh apricot market. Since the 
California apricot season ends (May through August) just when the 
Washington apricot season begins (July through September), Messrs. 
Stokes and Hash believe that any reduction in quality standards in 
Washington apricots would have a negative effect on purchases of 
California apricots during the 1996 season. They also contend that this 
temporary suspension would set a dangerous precedent for the future 
because hail damage is a common occurrence in Washington and 
California.
    The Department has reviewed the comments of the Board and does not 
agree that the temporary suspension of grade requirements for one 
variety of Washington apricots will adversely affect the California 
market. There is a seven month period of time (from September to May) 
between the end of Washington apricot shipments for 1995 and the 
beginning of California apricot shipments for 1996. This period of time 
between the Washington and California shipping seasons is more than 
adequate not to have impact on the California apricot market.
    After thoroughly analyzing the comments received and other 
available information, the Department agrees with and upholds the 
request of the Committee to temporarily suspend grade requirements for 
the Patterson variety apricot for the 1995 season, only. The Department 
does not believe that the comments of the Board have merit and 
concludes that this final rule is appropriate.
    Based on these considerations, 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 material presented, the 
information and recommendations submitted by the Committee, and other 
information, it is found that finalizing the interim final rule, 
without change, as published in the Federal Register (60 FR 32429, June 
22, 1995) will tend to effectuate the declared policy of the Act.
    It is further found that good cause exists for not postponing the 
effective date of this rule until 30 days after publication in the 
Federal Register (5 U.S.C. 553). Further, handlers are aware of this 
rule, which was recommended at a public meeting. Also, a 30-day comment 
period was provided for in the interim final rule.

List of Subjects in 7 CFR Part 922

    Apricots, Marketing agreements, Reporting and recordkeeping 
requirements.

    For the reasons set forth in the preamble, 7 CFR part 922 is 
amended as follows:

PART 922--APRICOTS GROWN IN DESIGNATED COUNTIES IN WASHINGTON

    Accordingly, the interim final rule amending 7 CFR part 922 which 
was published at 60 FR 32429 on June 22, 1995, is adopted as a final 
rule without change.

    Dated: September 11, 1995.

Sharon Bomer Lauritsen,

Deputy Director, Fruit and Vegetable Division.

[FR Doc. 95-22949 Filed 9-14-95; 8:45 am]

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