[Federal Register Volume 63, Number 196 (Friday, October 9, 1998)]
[Proposed Rules]
[Pages 54382-54383]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 98-27178]


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 Proposed Rules
                                                 Federal Register
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 This section of the FEDERAL REGISTER contains notices to the public of 
 the proposed issuance of rules and regulations. The purpose of these 
 notices is to give interested persons an opportunity to participate in 
 the rule making prior to the adoption of the final rules.
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  Federal Register / Vol. 63, No. 196 / Friday, October 9, 1998 / 
Proposed Rules  

[[Page 54382]]


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DEPARTMENT OF AGRICULTURE

Agricultural Marketing Service

7 CFR Part 967

[Docket No. FV98-967-1 PR]


Celery Grown in Florida; Proposed Termination of Marketing Order 
No. 967

AGENCY: Agricultural Marketing Service, USDA.

ACTION: Proposed rule.

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SUMMARY: This proposal invites comments on the termination of the 
Federal marketing order regulating the handling of celery grown in 
Florida (order) and the rules and regulations issued thereunder. The 
Florida celery industry has not operated under the order since its 
provisions were suspended January 12, 1995. The celery industry has 
experienced a loss of market share, a significant reduction in the 
number of producers and handlers has diminished the need for regulating 
Florida celery, and there is no industry support for reactivating the 
order. Therefore, there is no need to continue this order.

DATES: Comments must be received by December 8, 1998.

ADDRESSES: Interested persons are invited to submit written comments 
concerning this proposal. Comments must be sent to the Docket Clerk, 
Fruit and Vegetable Programs, AMS, USDA, room 2525-S, P.O. Box 96456, 
Washington, DC 20090-6456, Fax: (202) 205-6632; or E-mail: 
[email protected]. All comments should reference the docket 
number and the date and page number of this issue of the Federal 
Register and will be made available for public inspection in the Office 
of the Docket Clerk during regular business hours.

FOR FURTHER INFORMATION CONTACT: Doris Jamieson, Southeast Marketing 
Field Office, AMS, USDA, P.O. Box 2276, Winter Haven, Florida 33883-
2276; telephone (941) 299-4770, Fax: (941) 299-5169; or Anne M. Dec, 
Marketing Order Administration Branch, Fruit and Vegetable Programs, 
AMS, USDA, room 2525-S, P.O. Box 96456, Washington, DC 20090-6456; 
telephone (202) 720-2491, Fax: (202) 205-6632. Small businesses may 
request information on compliance with this regulation by contacting 
Jay Guerber, Marketing Order Administration Branch, Fruit and Vegetable 
Programs, AMS, USDA, P.O. Box 96456, room 2525-S, Washington, DC 20090-
6456, telephone (202) 720-2491, Fax: (202) 205-6632.

SUPPLEMENTARY INFORMATION: This proposal is governed by provisions of 
Sec. 608(16)(A) of the Agricultural Marketing Agreement Act of 1937, as 
amended (7 U.S.C. 601-674), hereinafter referred to as the Act and 
Sec. 967.85 of the order.
    The Department of Agriculture (Department) is issuing this rule in 
conformance with Executive Order 12866.
    This proposal has been reviewed under Executive Order 12988, Civil 
Justice Reform. This rule is not intended to have retroactive effect. 
This proposal 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. 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 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.
    This proposed rule would terminate the order regulating the 
handling of celery grown in Florida. Sections 967.85 and 967.86 of the 
order contain the authority and procedures for termination.
    The order was initially established in 1965 to help the industry 
solve specific marketing problems and maintain orderly marketing 
conditions. It was the responsibility of the Florida Celery Committee 
(committee), the agency established for local administration of the 
marketing order, to periodically investigate and assemble data on the 
growing, harvesting, shipping, and marketing conditions of Florida 
celery. The committee tried to achieve orderly marketing and improve 
acceptance of Florida celery through the establishment of volume 
regulations and promotion activities.
    The Florida celery industry has not operated under the marketing 
order for three years. The order and all of its accompanying rules and 
regulations were suspended January 12, 1995, through December 31, 1997 
(60 FR 2873). Regulations have not been applied under the order since 
that time, and no committee has been appointed since then.
    In 1965, when the marketing order was issued, there were over 41 
producers of Florida celery. The earliest handling figures available 
indicate that in 1983 there were 11 handlers. As of the date of 
suspension of the order (January 12, 1995), there were six handlers of 
Florida celery who were subject to regulation under the marketing order 
and five celery producers within the production area. Currently, there 
is one producer who is also a handler.
    When the order was suspended, all of the committee members and 
their alternates were named as trustees to oversee the administrative 
affairs of the order. The Department attempted to contact as many of 
these trustees as it could with respect to the need for reinstating the 
marketing order. All of the individuals contacted (10 of the 18 
trustees) were in favor of terminating the order. We believe that there 
is no justification for continuing the current order.
    Pursuant to requirements set forth in the Regulatory Flexibility 
Act (RFA), the Agricultural Marketing Service (AMS) has considered the 
economic impact of this action on small entities. Accordingly, AMS has 
prepared this initial regulatory flexibility analysis.
    The purpose of the RFA is to fit regulatory actions to the scale of

[[Page 54383]]

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 is one handler of Florida celery who would be subject to 
regulation under the marketing order. This handler is also a producer 
within the production area. Small agricultural service firms have been 
defined by the Small Business Administration (13 CFR 121.601) as those 
having annual receipts of less than $5,000,000, and small agricultural 
producers are defined as those having annual receipts of less than 
$500,000. The Florida celery producer-handler may be classified as a 
small entity.
    This proposed rule would terminate the order regulating the 
handling of celery grown in Florida. The order and its accompanying 
rules and regulations were suspended on January 12, 1995. No 
regulations have been implemented since then, and there is no 
indication that such regulations will again be needed.
    The industry has been operating without a marketing order since its 
suspension. Reestablishing the order would mean additional cost to the 
industry stemming from assessments to maintain the order (the last 
assessment was $0.01 per crate) and any associated costs generated by 
regulation. By not reinstating the marketing order, the industry would 
benefit from avoiding these costs. Regulatory authorities that would be 
terminated include authority to implement grade, size, container, and 
inspection requirements and provisions for research and development and 
volume regulation. Because the industry has been operating without an 
order for over three years, the termination of the order would have no 
noticeable effect on either small or large operations.
    In accordance with the Paperwork Reduction Act of 1995 (44 U.S.C. 
Chapter 35), the information collection requirements under the order 
were approved by the Office of Management and Budget (OMB) and assigned 
OMB No. 0581-0145. When the order was suspended on January 12, 1995, 
these information collection requirements were also suspended. When the 
order is terminated, these requirements will be eliminated. There is 
one handler remaining under the order with an estimated burden of 9.05 
hours.
    The Department has not identified any relevant Federal rules that 
duplicate, overlap, or conflict with this proposed rule.
    The Department attempted to solicit as much industry input on this 
decision as possible. In addition, this action provides the opportunity 
for all interested persons to comment on this proposal.
    The Department believes that conducting a termination referendum 
would merely reaffirm the Florida celery industry's continued lack of 
interest in reactivating the marketing order and that conducting such a 
referendum would be wasteful of Departmental and public resources.
    Therefore, pursuant to Sec. 608c(16)(A) of the Act and Sec. 967.85 
of the order, the Department is considering the termination of 
Marketing Order No. 967, covering celery grown in Florida. If the 
Secretary decides to terminate the order, trustees would be appointed 
to continue in the capacity of concluding and liquidating the affairs 
of the former committee.
    Section 608c(16)(A) of the Act requires the Secretary to notify 
Congress 60 days in advance of the termination of a Federal marketing 
order. Congress will be so notified upon publication of this proposed 
termination.
    A 60-day comment period is provided to allow interested persons to 
respond to this proposal. All written comments timely received will be 
considered before a final determination is made on this matter.

List of Subjects in 7 CFR Part 967

    Celery, Marketing agreements, Reporting and recordkeeping 
requirements.

PART 967--[REMOVED]

    For the reasons set forth in the preamble, and under authority of 7 
U.S.C. 601-674, 7 CFR part 967 is proposed to be removed.

    Dated: October 2, 1998.
Enrique E. Figueroa,
Administrator, Agricultural Marketing Service.
[FR Doc. 98-27178 Filed 10-8-98; 8:45 am]
BILLING CODE 3410-02-P