[Federal Register Volume 60, Number 187 (Wednesday, September 27, 1995)]
[Rules and Regulations]
[Pages 49749-49751]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 95-23898]



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DEPARTMENT OF AGRICULTURE
7 CFR Part 993

[Docket No. FV95-993-1FIR]


Dried Prunes Produced in California; Expenses and Assessment Rate

AGENCY: Agricultural Marketing Service, USDA.

ACTION: Final rule.

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SUMMARY: The Department of Agriculture (Department) is adopting as 

[[Page 49750]]
a final rule, without change, the provisions of an interim final rule 
that authorized expenses and established an assessment rate that 
generated funds to pay those expenses under Marketing Order No. 993 for 
the 1995-96 crop year. Authorization of this budget enables the Prune 
Marketing Committee (Committee) to incur expenses that are reasonable 
and necessary to administer the program. Funds to administer this 
program are derived from assessments on handlers.

EFFECTIVE DATE: August 1, 1995, through July 31, 1996.

FOR FURTHER INFORMATION CONTACT: Martha Sue Clark, Marketing Order 
Administration Branch, Fruit and Vegetable Division, AMS, USDA, P.O. 
Box 96456, room 2523-S, Washington, DC 20090-6456, telephone 202-720-
9918; or Richard P. Van Diest, California Marketing Field Office, Fruit 
and Vegetable Division, AMS, USDA, suite 102B, 2202 Monterey Street, 
Fresno, California 93721, telephone 209-487-5901.

SUPPLEMENTARY INFORMATION: This rule is issued under Marketing 
Agreement and Order No. 993, both as amended (7 CFR part 993), 
regulating the handling of dried prunes produced in 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 is issuing this rule in conformance with Executive 
Order 12866.
    This rule has been reviewed under Executive Order 12778, Civil 
Justice Reform. Under the provisions of the marketing order now in 
effect, California prunes are subject to assessments. It is intended 
that the assessment rate as issued herein will be applicable to all 
assessable prunes handled during the 1995-96 crop year, which began 
August 1, 1995, and ends July 31, 1996. This 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 provisions 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 the 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 the 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 1,360 producers of California dried prunes 
under this marketing order, and approximately 20 handlers. Small 
agricultural producers have been defined by the Small Business 
Administration (13 CFR 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 
California dried prune producers and handlers may be classified as 
small entities.
    The budget of expenses for the 1995-96 crop year was prepared by 
the Prune Marketing Committee, the agency responsible for local 
administration of the marketing order, and submitted to the Department 
of Agriculture for approval. The members of the Committee are producers 
and handlers of California dried prunes. They are familiar with the 
Committee's needs and with the costs of goods and services in their 
local area and are thus in a position to formulate an appropriate 
budget. The budget was formulated and discussed in a public meeting. 
Thus, all directly affected persons have had an opportunity to 
participate and provide input.
    The assessment rate recommended by the Committee was derived by 
dividing anticipated expenses by expected shipments of dried California 
prunes. Because that rate will be applied to actual shipments, it must 
be established at a rate that will provide sufficient income to pay the 
Committee's expenses.
    The Committee met June 22, 1995, and unanimously recommended a 
1995-96 budget of $275,280, $5,080 more than the previous year. Budget 
items for 1995-96 which have increased compared to those budgeted for 
1994-95 (in parentheses) are: Executive salaries, $87,980 ($83,850), 
clerical salaries, $19,440 ($18,650), office rent, $22,000 ($21,500), 
postage and messenger, $5,500 ($5,000), rental of equipment, $3,000 
($500), purchase of equipment, $5,000 ($4,500), acreage survey, $10,500 
($10,000), and reserve for contingencies, $19,310 ($19,250). Items 
which have decreased compared to the amount budgeted for 1994-95 (in 
parentheses) are: Employee benefits, $15,400 ($15,800), repairs and 
maintenance, $3,000 ($4,000), stationery and printing, $4,000 ($6,500), 
and Committee travel, $9,000 ($9,500). All other items are budgeted at 
last year's amounts.
    The Committee also unanimously recommended an assessment rate of 
$1.55 per salable ton, $0.05 less than the previous year. This rate, 
when applied to anticipated shipments of 177,600 salable tons, will 
yield $275,280 in assessment income, which will be adequate to cover 
budgeted expenses. Any funds not expended by the Committee during a 
crop year may be used, pursuant to Sec. 993.81(c), for a period of five 
months subsequent to that crop year. At the end of such period, the 
excess funds are returned or credited to handlers.
    An interim final rule was published in the Federal Register on 
August 1, 1995 (60 FR 19107). That interim final rule added 
Sec. 993.346 to authorize expenses and establish an assessment rate for 
the Committee. That rule provided that interested persons could file 
comments through August 31, 1995. No comments were received.
    While this action will impose some additional costs on handlers, 
the costs are in the form of uniform assessments on handlers. Some of 
the additional costs may be passed on to producers. However, these 
costs will be offset by the benefits derived by the operation of the 
marketing order. Therefore, 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.
    It is further found that good cause exists for not postponing the 
effective 

[[Page 49751]]
date of this rule until 30 days after publication in the Federal 
Register (5 U.S.C. 553) because the Committee needs to have sufficient 
funds to pay its expenses which are incurred on a continuous basis. The 
1995-96 crop year began on August 1, 1995. The marketing order requires 
that the rate of assessment for the crop year apply to all assessable 
California prunes handled during the crop year. In addition, handlers 
are aware of this rule which was recommended by the Committee at a 
public meeting and published in the Federal Register as an interim 
final rule.

List of Subjects in 7 CFR Part 993

    Marketing agreements, Plums, Prunes, Reporting and recordkeeping 
requirements.

    For the reasons set forth in the preamble, 7 CFR part 993 is 
amended as follows:

PART 993--DRIED PRUNES PRODUCED IN CALIFORNIA

    Accordingly, the interim final rule adding Sec. 993.346 which was 
published at 60 FR 39107 on August 1, 1995, is adopted as a final rule 
without change.

    Dated: September 20, 1995.
Sharon Bomer Lauritsen,
Deputy Director, Fruit and Vegetable Division.
[FR Doc. 95-23898 Filed 9-26-95; 8:45 am]
BILLING CODE 3410-02-P