[Federal Register Volume 61, Number 160 (Friday, August 16, 1996)]
[Rules and Regulations]
[Pages 42529-42530]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 96-20789]



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 Rules and Regulations
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  Federal Register / Vol. 61, No. 160 / Friday, August 16, 1996 / Rules 
and Regulations  

[[Page 42529]]



DEPARTMENT OF AGRICULTURE

Agricultural Marketing Service

7 CFR Parts 927 and 931

[Docket No. FV96-927-2 IFR]


Assessment Rates for Specified Marketing Orders

AGENCY: Agricultural Marketing Service, USDA.

ACTION: Interim final rule with request for comments.

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SUMMARY: This interim final rule establishes assessment rates for 
Marketing Order Nos. 927 and 931 for the 1996-97 and subsequent fiscal 
periods. The Winter Pear Control Committee and the Northwest Fresh 
Bartlett Marketing Committee (Committees) are responsible for local 
administration of the marketing orders which regulate the handling of 
winter pears grown in Oregon, Washington, and California and fresh 
Bartlett pears grown in Oregon and Washington. Authorization to assess 
winter pear and fresh Bartlett pear handlers enables the Committees to 
incur expenses that are reasonable and necessary to administer the 
programs.

DATES: Effective on July 1, 1996. Comments received by September 16, 
1996, will be considered prior to issuance of a final rule.

ADDRESSES: Interested persons are invited to submit written comments 
concerning this rule. 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: Tershirra Yeager, Marketing Assistant, 
Marketing Order Administration Branch, Fruit and Vegetable Division, 
AMS, USDA, P.O. Box 96456, Room 2522-S, Washington, DC 20090-6456, 
telephone (202) 720-5127, FAX (202) 720-5698, or Teresa L. Hutchinson, 
Marketing Specialist, Northwest Marketing Field Office, Fruit and 
Vegetable Division, AMS, USDA, 1220 SW Third Avenue, room 369, 
Portland, OR 97204, telephone (503) 326-2724, FAX (503) 326-7440. Small 
businesses may request information on compliance with this regulation 
by contacting: Jay Guerber, Marketing Order Administration Branch, 
Fruit and Vegetable Division, AMS, USDA, P.O. Box 96456, Room 2523-S, 
Washington, D.C. 20090-6456; telephone: (202) 720-2491, FAX (202) 720-
5698.

SUPPLEMENTARY INFORMATION: This rule is issued under Marketing 
Agreement and Order No. 927 [7 CFR part 927], regulating the handling 
of winter pears in Oregon, Washington, and California; and Marketing 
Order No. 931 [7 CFR part 931] regulating the handling of fresh 
Bartlett pears in Oregon and Washington, hereinafter referred to as the 
``orders.'' The marketing agreements and orders 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 rule has been reviewed under Executive Order 12988, Civil 
Justice Reform. Under the marketing orders now in effect, handlers in 
designated areas are subject to assessments. Funds to administer the 
orders are derived from such assessments. It is intended that the 
assessment rates as issued herein will be applicable to all assessable 
winter pears and fresh Bartlett pears beginning July 1, 1996, and 
continuing until amended, suspended, or terminated. 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 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 handlers are 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 to review the 
Secretary's ruling on the petition, provided an action is filed not 
later than 20 days after the date of the entry of the ruling.
    Pursuant to requirements set forth in the Regulatory Flexibility 
Act (RFA), 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 90 handlers of winter pears and 65 handlers 
of fresh Bartlett pears subject to regulation under the marketing 
orders. In addition, there are about 1,800 winter pear and fresh 
Bartlett pear producers in the respective production areas. 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 
winter pear and fresh Bartlett pear producers and handlers may be 
classified as small entities. Interested persons are invited to submit 
information on the regulatory and informational impacts of this action 
on small businesses.
    The orders provide authority for the Committees, with the approval 
of the Department, to formulate annual budgets of expenses and collect 
assessments from handlers to administer the programs. The members of 
the

[[Page 42530]]

Committees are producers and handlers of Oregon, Washington, and 
California pears. They are familiar with the Committees' needs and with 
the pears costs for goods and services in their local areas and are 
thus in a position to formulate appropriate budgets and assessment 
rates. The assessment rates are formulated and discussed in public 
meetings. Thus, all directly affected persons have an opportunity to 
participate and provide input.
    The Winter Pear Control Committee met on May 31, 1996, and 
unanimously recommended 1996-97 expenditures of $5,887,084 and an 
assessment rate of $0.405 per standard box. In comparison, last year's 
budgeted expenditures were $7,384,440, respectively.
    The assessment rate recommended by the Committee was derived by 
dividing anticipated expenses by expected shipments of winter pears 
grown in Oregon, Washington, and California. Winter pear shipments for 
the year are estimated at 12,465,800 standard boxes which should 
provide $4,674,675 for paid advertising. Income derived from handler 
assessments, along with interest income and funds from the Committee's 
authorized reserve, will be adequate to cover budgeted expenses. Funds 
in the reserve will be kept within the maximum permitted by the order.
    Major expenditures recommended by the Winter Pear Control Committee 
for the 1996-97 year include $154,387 for salaries, $16,893 for health 
insurance, and $23,392 for office rent. Budgeted expenses for these 
items in 1995-96 were $147,152, $16,634, and $17,357, respectively.
    The Northwest Fresh Bartlett Marketing Committee met on May 30, 
1996, and unanimously recommended 1996-97 expenditures of $89,774 and 
an assessment rate of $0.0375 per western standard pear box. In 
comparison, last year's budgeted expenditures were $92,254, 
respectively.
    The assessment rate recommended by the Committee was derived by 
dividing anticipated expenses by expected shipments of fresh Bartlett 
pears grown in Oregon and Washington. Shipments for the year are 
estimated at 1,842,000 packed boxes which should provide $69,075 in 
assessment income. Income derived from handler assessments, along with 
interest income and funds from the Committee's authorized reserve, will 
be adequate to cover budgeted expenses. Funds in the reserve will be 
kept within the maximum permitted by the order.
    Major expenditures recommended by the Northwest Fresh Bartlett 
Marketing Committee for the 1996-97 year include $46,306 for salaries, 
$4,991 for health insurance, and $7,016 for office rent. Budgeted 
expenses for these items in 1995-96 were $44,135, $4,989 and $5,206, 
respectively.
    While this rule will impose some additional costs on handlers, the 
costs are in the form of uniform assessments on all 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 orders. Therefore, the AMS has determined that this rule will 
not have a significant economic impact on a substantial number of small 
entities.
    The assessment rates established in this rule will continue in 
effect indefinitely unless modified, suspended, or terminated by the 
Secretary upon recommendation and information submitted by the 
Committees or other available information.
    Although these assessment rates are effective for an indefinite 
period, the Committees will continue to meet prior to or during each 
fiscal period to consider recommendations for modification of the 
assessment rates. The dates and times of Committee meetings are 
available from the Committees or the Department. Committee meetings are 
open to the public and interested persons may express their views at 
these meetings. The Department will evaluate Committee recommendations 
and other available information to determine whether modification of 
the assessment rates are needed. Further rulemaking will be undertaken 
as necessary. The Committees' 1996-97 budgets and those for subsequent 
fiscal periods will be reviewed and, as appropriate, approved by the 
Department.
    After consideration of all relevant material presented, including 
the information and recommendation submitted by the Committees 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 rule until 30 days after publication in the Federal 
Register because: (1) The Committees need to have sufficient funds to 
pay their expenses which are incurred on a continuous basis; (2) the 
1996-97 fiscal periods began on July 1, 1996, and the marketing orders 
require that the rates of assessment for each fiscal period apply to 
all assessable winter pears and fresh Bartlett pears handled during 
such fiscal period; (3) handlers are aware of the actions which were 
recommended by the Committees at public meetings and are similar to 
other assessment rate actions issued in past years; and (4) this 
interim final rule provides a 30-day comment period, and all comments 
timely received will be considered prior to finalization of this rule.

List of Subjects

7 CFR Part 927

    Winter Pears, Marketing agreements, Reporting and recordkeeping 
requirements.

7 CFR Part 931

    Fresh Bartlett Pears, Marketing agreements, Reporting and 
recordkeeping requirements.

    For the reasons set forth in the preamble, 7 CFR parts 927 and 931 
are amended as follows:
    1. The authority citation for 7 CFR parts 927 and 931 continue to 
read as follows:

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

    Note: These sections will appear in the Code of Federal 
Regulations.

PART 927--WINTER PEARS GROWN IN OREGON, WASHINGTON AND CALIFORNIA

    2. A new center heading--Assessment Rate consisting of a new 
Sec. 927.236 is added to read as follows:
Assessment Rate


Sec. 927.236  Assessment Rate.

    On and after July 1, 1996, an assessment rate of $0.405 per 
standard box is established for the Winter Pear Control Committee.

PART 931--FRESH BARTLETT PEARS GROWN IN OREGON AND WASHINGTON

    3. A new center heading--Assessment Rate consisting of a new 
Sec. 931.231 is added to read as follows:
Assessment Rate


Sec. 931.231  Assessment Rate.

    On and after July 1, 1996, an assessment rate of $.0375 per western 
standard pear box is established for the Northwest Fresh Bartlett 
Marketing Committee.

    Dated: August 9, 1996.
Robert C. Keeney,
Director, Fruit and Vegetable Division.
[FR Doc. 96-20789 Filed 8-15-96; 8:45 am]
BILLING CODE 3410-02-P