[Federal Register Volume 60, Number 204 (Monday, October 23, 1995)]
[Rules and Regulations]
[Pages 54294-54295]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 95-26085]



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DEPARTMENT OF AGRICULTURE
7 CFR Part 979

[Docket No. FV95-979-1IFR]


Melons Grown in South Texas; Expenses

AGENCY: Agricultural Marketing Service, USDA.

ACTION: Interim final rule with request for comments.

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SUMMARY: This interim final rule authorizes expenditures under 
Marketing Order No. 979 for the 1995-96 fiscal period. Authorization of 
this budget enables the South Texas Melon 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.

DATES: Effective beginning October 1, 1995, through September 30, 1996. 
Comments received by November 22, 1995, will be considered prior to 
issuance of a final rule.

ADDRESSES: Interested persons are invited to submit written comments 
concerning this action. Comments must be sent in triplicate to the 
Docket Clerk, Fruit and Vegetable Division, AMS, USDA, P.O. Box 96456, 
room 2523-S, Washington, DC 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: 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 Belinda G. Garza, McAllen Marketing Field Office, Fruit and 
Vegetable Division, AMS, USDA, 1313 East Hackberry, McAllen, Texas 
78501, telephone 210-682-2833.

SUPPLEMENTARY INFORMATION: This rule is issued under Marketing 
Agreement No. 156 and Order No. 979 (7 CFR part 979), regulating the 
handling of melons grown in South Texas. 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 action authorizes expenditures for 
the 1995-96 fiscal period, which began October 1, 1995, and ends 
September 30, 1996. 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 request 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 40 producers of South Texas melons under 
this marketing order, and approximately 19 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 South Texas melon 
producers and handlers may be classified as small entities.
    The budget of expenses for the 1995-96 fiscal period was prepared 
by the South Texas Melon Committee, the agency responsible for local 
administration of the marketing order, and submitted to the Department 
for approval. The members of the Committee are producers and handlers 
of South Texas melons. 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 Committee, in a mail vote completed September 15, 1995, 
unanimously recommended a 1995-96 budget of $234,044 for personnel, 
office, compliance, and road guard station expenses, which is $26,544 
more than the previous year. Budget items for 1995-96 which have 
increased compared to those budgeted for 1994-95 (in parentheses) are: 
Manager's salary, $19,094 ($15,172), office salary, $24,000 ($15,600), 
payroll taxes, $4,000 ($3,100), insurance, $7,000 ($5,250), accounting 
and audit, $2,600 ($2,300), rent and utilities, $6,500 ($4,000), 
supplies, $2,000 ($1,500), postage, $1,500 ($1,000), telephone and 
telegraph, 

[[Page 54295]]
$4,000 ($2,500), furniture and fixtures, $2,000 ($1,000), equipment 
rental and maintenance, $3,500 ($2,500), contingencies, $6,000 
($5,278), Committee expense, $2,000 ($700), manager's travel, $5,000 
($3,000), and $3,750 for deferred compensation (manager's retirement), 
which was not a line item expense last year. Items which have decreased 
compared to those budgeted for 1994-95 (in parentheses) are: Field 
travel, $4,000 ($5,000), and field salary, $5,500 ($8,000). All other 
items are budgeted at last year's amounts, including $125,000 to 
operate road guard stations around the area for compliance purposes.
    The assessment rate and funding for research projects will be 
discussed and recommended at the Committee's organizational meeting 
later this fall. These funds, along with the administrative expenses 
for personnel, office, compliance, and operation of the road guard 
stations, will comprise the total budget. Funds in the reserve as of 
July 31, 1995, were $367,369, and are within the maximum permitted by 
the order of two fiscal periods' expenses. These funds will be adequate 
to cover any expenses incurred by the Committee prior to the approval 
of the assessment rate.
    Since no assessment rate is being recommended at this time, no 
additional costs will be imposed on handlers. 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.
    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 fiscal period began on October 1, 1995, and the 
Committee needs to have approval to pay its expenses which are incurred 
on a continuous basis; (2) this action is similar to that taken at the 
beginning of the 1994-95 fiscal period; and (3) 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 979

    Marketing agreements, Melons, Reporting and recordkeeping 
requirements.

    For the reasons set forth in the preamble, 7 CFR part 979 is 
amended as follows:

PART 979--MELONS GROWN IN SOUTH TEXAS

    1. The authority citation for 7 CFR part 979 is revised to read as 
follows:

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

    2. A new Sec. 979.218 is added to read as follows:

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


Sec. 979.218  Expenses.

    Expenses of $234,044 by the South Texas Melon Committee are 
authorized for the fiscal period ending September 30, 1996. Unexpended 
funds may be carried over as a reserve.

    Dated: October 12, 1995.
Sharon Bomer Lauritsen,
Deputy Director, Fruit and Vegetable Division.
[FR Doc. 95-26085 Filed 10-20-95; 8:45 am]
BILLING CODE 3410-02-P