[Federal Register Volume 61, Number 66 (Thursday, April 4, 1996)]
[Rules and Regulations]
[Pages 14951-14952]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 96-8244]



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 Rules and Regulations
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  Federal Register / Vol. 61, No. 66 / Thursday, April 4, 1996 / Rules 
and Regulations  

[[Page 14951]]


DEPARTMENT OF AGRICULTURE

Agricultural Marketing Service

7 CFR Part 1208

[AMS-FV-96-702 IFR]


Fresh Cut Flowers and Fresh Cut Greens Promotion and Information 
Order; Suspension of Late Payment Charges

AGENCY: Agricultural Marketing Service (USDA).

ACTION: Interim final rule, suspension.

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SUMMARY: This interim final rule suspends, until April 30, 1996, 
portions of the Fresh Cut Flowers and Fresh Cut Greens Promotion and 
Information Order (Order) relating to assessment late payment charges. 
This action allows the National PromoFlor Council (Council) to cease 
levying late charges on past due assessments remitted by qualified 
handlers during the period January 15, 1995, through April 30, 1996. 
The suspension also permits the Council to refund late charges which 
have been collected since January 15, 1995. The Council recommended 
this suspension because it discovered that some qualified handlers were 
unfamiliar with the new fresh cut flowers and greens program.

EFFECTIVE DATE: January 15, 1995, through April 30, 1996.
    Comments must be received by May 6, 1996.

ADDRESSES: Interested persons are invited to submit written comments 
concerning this interim final rule to: Research and Promotion Branch, 
Fruit and Vegetable Division, Agricultural Marketing Service (AMS), 
USDA, P.O. Box 96456, Room 2535-S, Washington, DC 20090-6456; fax (202) 
205-2800. Three copies of all written material should be submitted, and 
they will be made available for public inspection at the Research and 
Promotion Branch during regular business hours. All comments should 
reference the docket number and the date and page number of this issue 
of the Federal Register

FOR FURTHER INFORMATION CONTACT: Sonia N. Jimenez, Research and 
Promotion Branch, Fruit and Vegetable Division, AMS, USDA, P.O. Box 
96456, Room 2535-S, Washington, D.C. 20090-6456; telephone (202) 720-
9915.

SUPPLEMENTARY INFORMATION: This interim final rule is issued under the 
Fresh Cut Flowers and Fresh Cut Greens Promotion and Information Act of 
1993 [Pub. L. 103-190], (7 U.S.C. 6801 et seq.) hereinafter referred to 
as the Act.
    This interim final rule has been issued in conformance with 
Executive Order 12866.
    This rule has been reviewed under Executive Order 12778, Civil 
Justice Reform. This action suspends late charges on past due 
assessments remitted by qualified handlers during the period January 
15, 1995, through April 30, 1996. 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 Sec. 8 of the Act, a 
person subject to the order may file a petition with the Secretary 
stating that the order or 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 is afforded the opportunity for a hearing on the 
petition. After such hearing, the Secretary will make a ruling on the 
petition. The Act provides that the district courts of the United 
States in any district in which a person who is a petitioner resides or 
carries on business are vested with jurisdiction to review the 
Secretary's ruling on the petition, if a complaint for that purpose is 
filed within 20 days after the date of the entry of the ruling.

Regulatory Flexibility Act

    Pursuant to requirements set forth in the Regulatory Flexibility 
Act (RFA), the Administrator of 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.
    Only those wholesale handlers, retail distribution centers, 
producers, and importers who have annual sales of $750,000 or more of 
cut flowers and greens and who sell those products to exempt handlers, 
retailers, or consumers are considered qualified handlers and assessed 
under the Order. There are approximately 900 wholesaler handlers, 150 
importers, and 200 domestic producers who are qualified handlers.
    The majority of these qualified handlers would be classified as 
small businesses. Small agricultural service firms have been defined by 
the Small Business Administration [13 CFR 121.601] as those having 
annual receipts of less than $5 million.
    The Administrator of the AMS has determined that this rule will not 
have a significant economic impact on a substantial number of small 
entities. This action benefits qualified handlers by preventing the 
levy of later charges which they might otherwise be subject to.
    In accordance with the Paperwork Reduction Act of 1995 [44 U.S.C. 
Chapter 35], and OMB regulations [5 CFR Part 1320], the information 
collection and recordkeeping requirements contained in this action were 
submitted to the OMB and approved under OMB control number 0581-0093 
and has an expiration date of January 31, 1997. This action adds no 
additional reporting burden.

Background

    The Order became effective on December 29, 1994 [59 CFR 67139]. 
During the first year of operation, the National PromoFlor Council 
(Council) has discovered that some qualified handlers were unfamiliar 
with the new fresh cut flowers and greens program. Consequently, such 
qualified handlers have remitted their assessments late or failed to 
remit their assessments, unknowingly subjecting themselves to late 
payment charges. The Council believes that the late payment charges are 
not serving their intended purpose of stimulating timely remittance of 
assessments due. Instead the late payment charges have been applicable 
to persons having difficulty adjusting their operations to conform with 
the requirements of the new program and

[[Page 14952]]
those who were legitimately unaware of the program's existence.
    This action suspends section 1208.52 of the Order and allows the 
Council to cease levying late charges on past due assessments remitted 
by handlers during the period January 15, 1995, through April 30, 1996. 
This suspension also permits the Council to refund late charges which 
have been collected since January 15, 1995.
    Suspension of late charges only applies to past due assessments 
remitted to the Board postmarked prior to midnight April 30, 1996. 
Assessment payments postmarked and received after April 30, 1996, would 
be subject to the late charges that would have been due had these 
provisions not been suspended.
    Based on available information, the Administrator of the AMS has 
determined that the issuance of this rule will not have a significant 
economic impact on a substantial number of small entities.
    For the reasons set forth herein, the provisions of section 1208.52 
of the Order are suspended for the period January 15, 1995, through 
April 30, 1996.
    After consideration of all relevant material, it is found that the 
order provisions subject to this action do not tend to effectuate the 
declared policy of the Act and are suspended for the period provide for 
in this action.
    Pursuant to the provisions in 5 U.S.C. 553, it is found and 
determined that it is impracticable, unnecessary, and contrary to the 
public interest to give preliminary notice prior to putting this action 
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) This action removes an economic burden from 
qualified handlers; (2) this action will serve to encourage qualified 
handlers with past due assessments to remit such assessments before the 
April 30, 1996, close of the suspension period, thereby avoiding the 
payment of late charges; and (3) payment of past due assessments by 
such qualified handlers will enable them to come into compliance with 
the Act and the Order.
    A 30-day comment period is provided to allow interested persons to 
respond to this action.

List of Subjects in 7 CFR Part 1208

    Administrative practice and procedure, Advertising, Consumer 
information, Marketing agreements, Cut flowers, Cut greens, Promotion, 
Reporting and recordkeeping requirements.

    For the reasons set forth in the preamble, 7 CFR Part 1208 is 
amended as follows:

PART 1208--FRESH CUT FLOWERS AND FRESH CUT GREENS PROMOTION AND 
INFORMATION ORDER

    1. The authority citation for 7 CFR part 1208 continues to read as 
follows:

    Authority: 7 U.S.C. 6801 et seq.


Sec. 1208.52  [Suspended in part]

    2. In Part 1208, section 1208.52 is suspended effective January 15, 
1995, through April 30, 1996.

    Dated: March 20, 1996.
Michael V. Dunn,
Assistant Secretary, Marketing and Regulatory Programs.
[FR Doc. 96-8244 Filed 4-3-96; 8:45 am]
BILLING CODE 3410-02-P