[Federal Register Volume 65, Number 72 (Thursday, April 13, 2000)]
[Rules and Regulations]
[Pages 19825-19826]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 00-9173]



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 Rules and Regulations
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  Federal Register / Vol. 65, No. 72 / Thursday, April 13, 2000 / Rules 
and Regulations  

[[Page 19825]]



DEPARTMENT OF AGRICULTURE

Agricultural Marketing Service

7 CFR Part 29

[Docket No. TB-99-07]
RIN 0581-AB75


Tobacco Inspection; Subpart B--Regulations

AGENCY: Agricultural Marketing Service, USDA.

ACTION: Final rule.

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SUMMARY: The Department of Agriculture (Department) is adopting as a 
final rule, with minor formatting changes, the provisions of an interim 
final rule, the regulation governing the mandatory inspection of 
tobacco that added the term ``purchaser'' specifically to include in 
the regulatory text this segment of the industry from attempting to 
influence, impede, or discuss any matter related to grading while the 
tobacco inspectors are grading tobacco on the auction warehouse floor 
and removed the language allowing the producer to discuss the grading 
of their tobacco with the inspector at the time grading is being 
performed. This rule incorporates recommendations made by the Flue-
Cured Tobacco Advisory Committee, the Five-State Flue-Cured Tobacco 
Committee, and industry representatives to clarify when it is allowable 
for someone to communicate with the grading personnel while they are 
performing their actual duties. The revisions better eliminate 
interference, distraction, and outside influence on the grading of 
tobacco.

EFFECTIVE DATE: May 15, 2000.

FOR FURTHER INFORMATION CONTACT: John P. Duncan III, Deputy 
Administrator, Tobacco Programs, Agricultural Marketing Service (AMS), 
United States Department of Agriculture (USDA), Room 502 Annex 
Building, PO Box 96456, Washington, DC 20090-6456; or Fax: (202) 205-
0235.

SUPPLEMENTARY INFORMATION: The Department published in the Federal 
Register on September 27, 1999 (64 FR 51887) an interim final rule 
amending the regulation at 7 CFR part 29, subpart B. The Department 
requested comments on the regulation. The comment period expired on 
November 26, 1999. AMS received one comment from a buying segment of 
the tobacco industry favoring the amendments.
    This final rule revises the regulation governing the mandatory 
inspection of tobacco pursuant to the provisions of the Tobacco 
Inspection Act (49 Stat. 741, 7 U.S.C. 511 et seq.).
    The Department received recommendations from the Flue-Cured Tobacco 
Advisory Committee, the Five-State Flue-Cured Tobacco Committee, and 
industry representatives that changes to the regulation in subpart B, 
Sec. 29.81(a), Interference with inspectors, is necessary to better 
eliminate interference, distraction, and outside influence on the 
grading of tobacco.
    The prior regulation specified that, no person, including the 
owner, producer, warehouseman, agent, or employee thereof shall attempt 
to influence, impede, or discuss any matter relating to grading while 
the tobacco inspectors are grading tobacco on the auction warehouse 
floor. The interim final rule does not allow any member of the 
industry, including tobacco purchasers, to discuss any matter 
pertaining to grading while the tobacco inspectors are grading tobacco 
on the auction warehouse floor. Also, the interim final rule action 
removed language allowing a producer to discuss the grading of their 
tobacco with the inspector at the time grading is performed. While 
producers are allowed to be present when their tobacco is being graded, 
they cannot discuss the grade or attempt to influence or intimidate the 
inspector during the performance of grading duties. The interim final 
rule does not preclude the producer from appealing the decision of the 
inspector after a grade has been assigned.
    This action finalizes the provisions of the interim final rule, 
with minor formatting changes, that added the term ``purchaser'' 
specifically to include in the regulatory text that segment of the 
industry from attempting to influence, impede, or discuss any matter 
related to grading while tobacco inspectors are grading tobacco on the 
auction warehouse floor and that removed the language allowing the 
producer to discuss the grading of their tobacco with the inspector at 
the time grading is being performed.
    This final rule has been determined to be ``non significant'' for 
purposes of Executive Order 12866 and, therefore, has not been reviewed 
by the Office of Management and Budget.
    This final rule has been reviewed under Executive Order 12988, 
Civil Justice Reform. This action is not intended to have retroactive 
effect. This final rule will not preempt any State or local laws, 
regulations, or policies, unless they present an irreconcilable 
conflict with this rule. There are no administrative procedures which 
must be exhausted prior to any judicial challenge to the provisions of 
this rule.
    Additionally, in conformance with the provisions of the Regulatory 
Flexibility Act (5 U.S.C. 601 et seq.), full consideration has been 
given to the potential economic impact upon small business. All tobacco 
warehouses and producers fall within the confines of ``small business'' 
which are 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 that $3,500,000. There are approximately 190 tobacco 
warehouses and approximately 30,000 producers and most warehouses and 
producers may be classified as small entities.
    The Agricultural Marketing Service has determined that this action 
will not have a significant economic impact on a substantial number of 
small entities. This rule continues revisions that amended the 
regulation governing the mandatory inspection of tobacco that: (1) 
Added the term ``purchaser'' to specifically include in the regulatory 
text this segment of the industry from attempting to influence, 
impeding, or discussing any matter relating to grading while tobacco 
inspectors are grading tobacco on the auction floor and (2) removed the 
language allowing a producer from discussing grading of their tobacco 
with the inspector at the time grading is being performed. Specifying 
the term ``purchaser'' in the text of the regulation merely identifies 
a segment of the industry already

[[Page 19826]]

prohibited from these actions. Further, removal of language allowing 
producers to discuss with inspectors their tobacco will have minimal 
impact on producers since producers would not be precluded from 
appealing the decision of an inspector after a grade has been assigned.

List of Subjects in 7 CFR Part 29

    Administrative practice and procedure, Advisory committees, 
Government publications, Imports, Pesticides and pests, Reporting and 
recordkeeping requirements, Tobacco.

    For the reasons set forth in the preamble, the interim final rule 
amending 7 CFR part 29 which was published at 64 FR 51887 on September 
27, 1999, is adopted as a final rule with the following change:

PART 29--TOBACCO INSPECTION

Subpart B--Regulations

    1. The authority citation for part 29, subpart B continues to read 
as follows:

    Authority: 7 U.S.C. 511m and 511r.


    2. In Sec. 29.81, paragraph (a) is revised to read as follows:


Sec. 29.81  Interference with inspectors.

    (a) No person, including the owner, producer, warehouseman, 
purchaser, agent, or employee thereof shall attempt, in any manner, to 
influence an inspector with respect to the grade designation of 
tobacco, or impede, in any manner, an inspector while the inspector is 
in the process of grading tobacco on the warehouse auction floor, or 
ask any question or discuss any matter pertaining to the grading of 
tobacco while the inspector is grading any tobacco on the warehouse 
auction floor. While inspectors are engaged in grading the day's sale, 
all requests for information concerning the grade designation on or 
requests to review the grade of any lot of tobacco shall be made only 
to the head grader or to the market supervisor grader.
* * * * *

    Dated: April 5, 2000.
Kathleen A. Merrigan,
Administrator, Agricultural Marketing Service.
[FR Doc. 00-9173 Filed 4-12-00; 8:45 am]
BILLING CODE 3410-02-P