[Federal Register Volume 64, Number 38 (Friday, February 26, 1999)]
[Proposed Rules]
[Pages 9452-9453]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 99-5016]


 ========================================================================
 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. 64, No. 38 / Friday, February 26, 1999 / 
Proposed Rules  

[[Page 9452]]


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DEPARTMENT OF AGRICULTURE

Farm Service Agency

7 CFR Part 723

RIN 0560-AF51


National Marketing Quotas for Fire-Cured (Type 21), Fire-Cured 
(Types 22-23), Dark Air-Cured (Types 35-36), Virginia Sun-Cured (Type 
37), and Cigar-Filler and Binder (Types 42-44 and 53-55) Tobaccos

AGENCY: Farm Service Agency, USDA.

ACTION: Proposed rule.

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SUMMARY: The Secretary of Agriculture (the Secretary) is required by 
the Agricultural Adjustment Act of 1938, as amended, (the Act) to 
proclaim by March 1, 1999, for referendum purposes, national marketing 
quotas for cigar filler and binder (types 42-44 and 53-55) tobacco for 
the 1999-2000, 2000-2001 and 2001-2002 marketing years (MYs) and to 
determine and announce the amounts of the national marketing quotas for 
fire-cured (type 21), fire-cured (types 22-23), dark air-cured (types 
35-36), Virginia sun-cured (type 37), and cigar-filler and binder 
(types 42-44 and 53-55) kinds of tobacco for the 1999-2000 MY. The 
public is invited to submit written comments, views, and 
recommendations concerning the determination of the national marketing 
quotas for such kinds of tobacco, and other related matters which are 
discussed in this proposed rule.

DATES: Comments must be received on or before noon March 1, 1999, in 
order to be assured of consideration.

ADDRESSES: Comments must be submitted to the Director, Tobacco and 
Peanuts Division, Farm Service Agency (FSA), United States Department 
of Agriculture, STOP 0514, 1400 Independence Avenue, S.W., Washington, 
DC 20250-0514. All written submissions will be made available for 
public inspection from 8:15 a.m. to 4:45 p.m., Monday through Friday, 
except holidays in Room 5750-South Building, 1400 Independence Avenue, 
S.W., Washington, DC 20250-0514.

FOR FURTHER INFORMATION CONTACT: Robert L. Tarczy, Tobacco and Peanuts 
Division, FSA, USDA, STOP 0514, 1400 Independence Avenue, S.W., 
Washington, DC 20250-0514, telephone 202-720-5346. Copies of the cost-
benefit assessment prepared for the rule can be obtained from Mr. 
Tarczy.

SUPPLEMENT INFORMATION:

Executive Order 12866

    This proposed rule has been determined to be significant and was 
reviewed by OMB under Executive Order 12866.

Federal Assistance Program

    The title and number of the Federal Assistance Program, as found in 
the Catalog of Federal Domestic Assistance, to which this rule applies 
are: Commodity Loan and Purchases--10.051.

Executive Order 12988

    This rule has been reviewed in accordance with Executive Order 
12988. The provisions of this proposed rule do not preempt State laws, 
are not retroactive, and do not involve administrative appeals.

Regulatory Flexibility Act

    It has been determined that the Regulatory Flexibility Act is not 
applicable to this proposed rule since neither FSA nor the Commodity 
Credit Corporation (CCC) is required by 5 U.S.C. 553 or any other 
provision of law to publish a notice of proposed rulemaking with 
respect to the subject of these determinations.

Paperwork Reduction Act

    These proposed amendments do not contain information collections 
that require clearance by the Office of Management and Budget under the 
provisions of 44 U.S.C. chapter 35.

Unfunded Federal Mandates

    This rule contains no Federal mandates under the regulatory 
provisions of Title II of the Unfunded Mandate Reform Act of 1995 
(UMRA), for State, local and tribal governments or the private sector. 
Thus, this rule is not subject to the requirements of sections 202 and 
205 of the UMRA.

Discussion

    The proposed rule would amend 7 CFR part 723 to set forth the 1999-
crop marketing quotas for these five kinds of tobacco.
    Section 312(b) of the Act, provides that the Secretary shall 
determine and announce, not later than March 1, 1999, with respect to 
the kinds of tobacco specified in this proposed rule, the amount of the 
national marketing quota which will be in effect for MY 1999 in terms 
of the total quantity of tobacco which may be marketed that will allow 
a supply of each kind of tobacco equal to the reserve supply level.
    Also, Section 312(c) of the Act requires for this year that, within 
30 days after proclamation of national marketing quotas for cigar 
filler and binder (types 42-44 and 53-55) tobacco, the Secretary must 
conduct a referendum of farmers engaged in the 1998 production of such 
kind of tobacco to determine whether they favor or oppose marketing 
quotas for MYs 1999, 2000 and 2001. This referendum is required because 
MY 1998 is the last year of the 3 consecutive MYs for which marketing 
quotas previously proclaimed will be in effect for this kind of 
tobacco.
    The Secretary will proclaim the results of the referendum. As 
provided in the Act, if more than one-third of the farmers voting in a 
referendum for this kind of tobacco oppose the quota, the national 
marketing quota previously proclaimed will not become effective.
    Section 313(g) of the Act authorizes the Secretary to convert the 
national marketing quota into a national acreage allotment by dividing 
the national marketing quota by the national average yield for the 5 
years immediately preceding the year in which the national marketing 
quota is proclaimed. In addition, the Secretary is authorized to 
apportion, through county FSA committees, the national acreage 
allotment to tobacco producing farms, less a reserve not to exceed 1 
percent thereof for new farms, to make corrections and adjust 
inequities in old farm allotments, through the national factor. The 
national factor is determined by dividing the preliminary quota (the 
sum of quotas for old farms) into the quota determined for the MY in 
question (less the reserve). Procedures will continue unchanged for (1) 
converting marketing quotas into acreage allotments; (2) apportioning

[[Page 9453]]

allotments among old farms; (3) apportioning reserves for use in (a) 
establishing allotments for new farms, and (b) making corrections and 
adjusting inequities in old farm allotments; and (4) holding referenda.
    For four of these five kinds of tobacco, supply and demand are in 
balance. Thus, changes in 1999 marketing quotas for these four kinds 
will likely be small.

Request for Comments

    This rule proposes to amend 7 CFR part 723, subpart A to include 
1999-crop national marketing quotas for fire-cured (type 21), fire-
cured (types 22-23), dark-air cured (types 35-36), Virginia sun-cured 
(type 37) and cigar-filler and binder (types 42-44 and 53-55) tobaccos. 
These five kinds of tobacco account for about 4 percent of total U.S. 
tobacco production.
    Comments are requested concerning the proposed establishment of the 
national marketing quotas for the subject tobaccos at the following 
levels:

(1) Fire-Cured (Type 21) Tobacco

    The 1999-crop national marketing quota for fire-cured (type 21) 
tobacco will range from 2.2 to 3.0 million pounds. This range reflects 
the assumption that the national acreage factor will range from 0.9 to 
1.1.

(2) Fire-Cured (Types 22-23) Tobacco

    The 1999-crop national marketing quota for fire-cured (types 22-23) 
tobacco will range from 32.0 to 40.0 million pounds. This range 
reflects the assumption that the national acreage factor will range 
from 0.8 to 1.0.

(3) Dark Air-Cured (Types 35-36) Tobacco

    The 1999-crop national marketing quota for dark air-cured (types 
35-36) tobacco will range from 9.0 to 11.0 million pounds. This range 
reflects the assumption that the national acreage factor will range 
from 0.8 to 1.0.

(4) Virginia Sun-Cured (Type 37) Tobacco

    The 1999-crop national marketing quota for Virginia sun-cured (type 
37) tobacco will range from 110,000 to 140,000 pounds. This range 
reflects the assumption that the national acreage factor will range 
from 0.9 to 1.1.

(5) Cigar-Filler and Binder (Types 42-44 and 53-55) Tobacco

    The 1999-crop national marketing quota for cigar-filler and binder 
(types 42-44 and 53-55) tobaccos will range from 4.0 to 4.6 million 
pounds. This range reflects the assumption that the national acreage 
factor will range from 0.8 to 1.0. Accordingly, comments are requested 
with respect to the foregoing issues.

List of Subjects in 7 CFR Part 723

    Acreage allotments, marketing quotas, penalties, reporting and 
recordkeeping requirements, tobacco.

    Accordingly, it is proposed that 7 CFR part 723 be amended as 
folllows:

PART 723--TOBACCO

    1. The authority citation for 7 CFR part 723 continues to read as 
follows:

    Authority: 7 U.S.C. 1301, 1311-1314, 1314-1, 1314b, 1314b-1, 
1314b-2, 1314c, 1314d, 1314e, 1314f, 1314i, 1315, 1316, 1362, 1363, 
1372-75, 1421, 1445-1, and 1445-2.

    2. Section 723.113 is amended by adding paragraph (g) to read as 
follows:


Sec. 723.113  Fire-cured (type 21) tobacco

* * * * *
    (g) The 1999-crop national marketing quota will range from 2.2 
million pounds to 3.0 million pounds.
    3. Section 723.114 is amended by adding paragraph (g) to read as 
follows:


Sec. 723.114  Fire-cured (types 22-23) tobacco

* * * * *
    (g) The 1999-crop national marketing quota will range from 32.0 
million pounds to 40.0 million pounds.
    4. Section 723.115 is amended by adding paragraph (g) to read as 
follows:


Sec. 723.115  Dark air-cured (types 35-36) tobacco

* * * * *
    (g) The 1999-crop national marketing quota will range from 9.0 
million pounds to 11.0 million pounds.
    5. Section 723.116 is amended by adding paragraph (g) to read as 
follows:
* * * * *


Sec. 723.116  Sun-cured (type 37) tobacco

* * * * *
    (g) The 1999-crop national marketing quota will range from 110,000 
to 140,000 pounds.
    6. Section 723.117 is amended by adding paragraph (g) to read as 
follows:


Sec. 723.117  Cigar-filler and binder (types 42-44 and 53-55) tobacco

* * * * *
    (g) The 1999-crop national marketing quota will range from 4.8 
million pounds to 6.0 million pounds.

    Signed at Washington, DC on February 24, 1999.
Keith Kelly,
Administrator, Farm Service Agency.
[FR Doc. 99-5016 Filed 2-24-99; 4:13 pm]
BILLING CODE 3410-05-P