[Federal Register Volume 65, Number 47 (Thursday, March 9, 2000)]
[Rules and Regulations]
[Pages 12442-12444]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 00-5771]


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DEPARTMENT OF AGRICULTURE

Agricultural Marketing Service

7 CFR Part 955

[Docket No. FV00-955 2 FIR]


Vidalia Onions Grown in Georgia; Changing the Term of Office and 
Nomination Deadlines

AGENCY: Agricultural Marketing Service, USDA.

ACTION: Final rule.

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SUMMARY: The Department of Agriculture (Department) is adopting, as a 
final rule, without change, the provisions of an interim final rule 
changing the term of office for the Vidalia Onion Committee 
(Committee), and the time for conducting and submitting Committee 
nominations under the Vidalia onion marketing order. The marketing 
order regulates the handling of Vidalia onions grown in Georgia and is 
administered locally by the Committee. This rule continues in effect 
the change in the term of office from a 24-month period beginning 
September 16 and ending September 15, to a 24-month period beginning 
January 1 and ending December 31. It also continues in effect the 
change in the month for conducting and submitting Committee producer 
nominations from August to October of each year, and for the public 
member and alternate member from November 1 to February 15. These 
changes are expected to improve Committee and program operations.

EFFECTIVE DATE: April 10, 2000.

FOR FURTHER INFORMATION CONTACT: William G. Pimental, Southeast 
Marketing Field Office, Marketing Order Administration Branch, Fruit 
and Vegetable Programs, AMS, USDA, P.O. Box 2276, Winter Haven, FL 
33883-2276; telephone: (863) 299-4770, Fax: (863) 299-5169; or George 
Kelhart, Technical Advisor, Marketing Order

[[Page 12443]]

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) 720-5698.
    Small businesses may request information on complying 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) 
720-5698, or E-mail: Jay.G[email protected].

SUPPLEMENTARY INFORMATION: This rule is issued under Marketing 
Agreement and Order No. 955 (7 CFR part 955), regulating the handling 
of Vidalia onions grown in Georgia, hereinafter referred to as the 
``order.'' 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 is issuing this rule in conformance with Executive 
Order 12866.
    This rule has been reviewed under Executive Order 12988, Civil 
Justice Reform. This rule is not intended to have retroactive effect. 
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. 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 rule continues in effect the change in the term of office from 
a 24-month period beginning September 16 and ending September 15, to a 
24-month period beginning January 1 and ending December 31. It also 
continues in effect the change in the times for conducting and 
submitting Committee producer nominations from August 1 and 15, to 
October 1 and 15, respectively, each year, and for the public member 
and alternate member from November 1 to February 15. These changes are 
expected to improve Committee and program operations.
    Section 955.21 of the order provides that the term of office for 
Committee members and alternates begins on September 16, or such other 
period as the Committee may recommend and the Secretary approves. In 
addition, Sec. 955.22 provides that the Committee shall hold or cause 
to be held not later than August 1 of each year, or such other date as 
may be specified by the Secretary, a meeting or meetings of growers for 
the purpose of designating one nominee for each position as member and 
for each position as alternate member of the Committee which is vacant, 
or which is about to become vacant. Nominations for members and 
alternates are required to be supplied to the Secretary in such manner 
and form as the Secretary may prescribe, not later than August 15 of 
each year, or by such date as may be specified by the Secretary. That 
section further provides that the producer members shall nominate the 
public member and alternate member at the first meeting following the 
selection of members for a new term of office. The members and 
alternates serve two-year terms of office and approximately one-half of 
the total Committee membership is nominated and selected each year. 
Nominations for the public member and alternate member are required to 
be supplied to the Secretary in such manner and form as the Secretary 
may prescribe, not later than November 1, or such other date as may be 
specified by the Secretary.
    An interim final rule was published in the Federal Register on 
September 3, 1999 (64 FR 48243), which changed the fiscal period 
established under the order to a calendar year basis (January 1-
December 31) from September 16-September 15 to more closely coincide 
with the Vidalia onion marketing season. That interim final rule has 
been adopted, without change, as a final rule published in the Federal 
Register on December 27, 1999 (64 FR 72265). The new fiscal period is 
specified in Sec. 955.113.
    Over the past decade, technological changes in the industry, 
including the adoption of Controlled Atmosphere (CA) storage of Vidalia 
onions by three-fourths of the industry handlers, have extended the 
harvesting and marketing season from April through June to an almost 
year-round basis. While there are some added storage costs and losses 
due to shrinkage with CA storage, these costs are more than offset by 
prices received for Vidalia onions during the holiday season (November 
and December).
    On September 30, 1999, the Committee unanimously recommended that 
the term of office continue to be established on the same basis as the 
fiscal period. This rule continues in effect the change in the term of 
office of Committee members and alternate members from a 24-month 
period beginning September 16 and ending September 15, to a 24-month 
period beginning January 1 and ending December 31. The changed term of 
office is established in Sec. 955.121. Also, for the eight members and 
alternates whose terms of office were scheduled to end on September 15, 
1999, their terms of office continued through December 31, 1999, or 
until qualified successors are selected. These positions on the 
Committee were filled by the Secretary on February 24, 2000.
    The Committee also recommended changes in the times for conducting 
and submitting Committee producer member and alternate member 
nominations to maintain the same approximate nomination deadlines as 
provided currently. The dates changed from August 1 and August 15 to 
October 1 and October 15, respectively, and are specified in 
Sec. 955.122. The deadline for submitting nominations to the Secretary 
for the public member and alternate changed from November 1 to February 
15 to provide the same amount of time for submitting nominations as 
previously provided after the newly selected Committee's first meeting 
sometime after January 1. These changes are expected to improve 
Committee and program operations.
    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 final regulatory flexibility analysis.
    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 133 producers of Vidalia onions in the 
production area and approximately 86 handlers subject to regulation 
under the

[[Page 12444]]

marketing order. Small agricultural producers have been defined by the 
Small Business Administration (13 CFR 121.201) as those having annual 
receipts less than $500,000, and small agricultural service firms are 
defined as those whose annual receipts are less than $5,000,000.
    Based on the Georgia Agricultural Statistical Service and committee 
data, the average price for fresh Vidalia Onions during the 1998-99 
season was $15.45 per 50-pound bag, or equivalent and shipments totaled 
3,617,017 bags. Many Vidalia onion handlers ship other vegetable 
products which are not included in the committee data, but would 
contribute further to handler receipts.
    Using the average price, about 97.4 percent of Vidalia Onion 
handlers could be considered small businesses under the SBA definition. 
The majority of Vidalia Onion producers and handlers may be classified 
as small entities.
    This rule continues in effect Sec. 955.121 to change the two-year 
term of office to January 1-December 31 from September 16-September 15 
to keep the term of office on a fiscal year basis. It also continues in 
effect Sec. 955.122 to modify the deadlines when nominations are to be 
held and reports of the nominations are to be made to the Secretary. 
The changed deadlines provide the same amount of time for conducting 
and submitting nominations for producer members and alternates and for 
the public member and alternate as were provided previously. For 
producer member and alternate members, the time for conducting 
nominations was changed from August 1 to October 1, and the time for 
submitting the nominations to Secretary was changed from August 15 to 
October 15. The time for submitting the public member and alternate 
public member nominations was changed from November 1 to February 15 
for a new term of office. Also, for the eight Committee members and 
alternates whose terms of office were scheduled to end on September 15, 
1999, their terms of office continued through December 31, 1999, or 
until qualified successors were selected. These positions on the 
Committee were filled by the Secretary on February 24, 2000.
    The changes in the term of office and the nomination deadlines 
should not impose any additional costs on large or small firms in the 
Vidalia onion industry. The changes merely bring the term of office and 
the nomination deadlines into conformity with the recent change in the 
fiscal period which was changed to a calendar year basis (January 1-
December 31) from September 16-September 15.
    The Committee discussed the alternative of leaving the term of 
office and nomination deadlines as they were. However, the Committee 
believed that the term of office and nomination deadlines should 
continue to be based on the fiscal period, which now is established on 
a calendar year basis.
    This rule will not impose any additional reporting or recordkeeping 
requirements on either small or large Vidalia onion handlers. As with 
all Federal marketing order programs, reports and forms are 
periodically reviewed to reduce information requirements and 
duplication by industry and public sectors. In addition, as noted in 
the initial regulatory flexibility analysis, the Department has not 
identified any relevant Federal rules that duplicate, overlap or 
conflict with this rule.
    Further, the Committee's meeting was widely publicized throughout 
the Vidalia onion industry and all interested persons were invited to 
attend the meeting and participate in Committee deliberations. Like all 
Committee meetings, the September 30, 1999, meeting was a public 
meeting and all entities, both large and small, were able to express 
their views on this issue.
    An interim final rule concerning this action was published in the 
Federal Register on December 27, 1999. Copies of the rule were mailed 
by the Committee's staff to all Committee members and Vidalia onion 
handlers. In addition, the rule was made available through the Internet 
by the Office of the Federal Register. That rule provided for a 30-day 
comment period which ended January 26, 2000. No comments were received.
    A small business guide on complying with fruit, vegetable, and 
specialty crop marketing agreements and orders may be viewed at the 
following website: http://www.ams.usda.gov/fv/moab.html. Any questions 
about the compliance guide should be sent to Jay Guerber at the 
previously mentioned address in the FOR FURTHER INFORMATION CONTACT 
section.
    After consideration of all relevant material presented, including 
the Committee's recommendation, and other information, it is found that 
finalizing the interim final rule, without change, as published in the 
Federal Register (64 FR 72267, December 27, 1999) will tend to 
effectuate the declared policy of the Act.

List of Subjects in 7 CFR Part 955

    Marketing agreements, Onions, Reporting and recordkeeping 
requirements.

PART 955--VIDALIA ONIONS GROWN IN GEORGIA

    Accordingly, the interim final rule amending 7 CFR part 955 which 
was published at 64 FR 72267, December 27, 1999, is adopted as a final 
rule without change.

    Dated: March 6, 2000.
Robert C. Keeney,
Deputy Administrator, Fruit and Vegetable Programs.
[FR Doc. 00-5771 Filed 3-8-00; 8:45 am]
BILLING CODE 3410-02-P