[Federal Register Volume 67, Number 225 (Thursday, November 21, 2002)]
[Notices]
[Pages 70205-70206]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 02-29602]


 ========================================================================
 Notices
                                                 Federal Register
 ________________________________________________________________________
 
 This section of the FEDERAL REGISTER contains documents other than rules 
 or proposed rules that are applicable to the public. Notices of hearings 
 and investigations, committee meetings, agency decisions and rulings, 
 delegations of authority, filing of petitions and applications and agency 
 statements of organization and functions are examples of documents 
 appearing in this section.
 
 ========================================================================
 

  Federal Register / Vol. 67, No. 225 / Thursday, November 21, 2002 / 
Notices  

[[Page 70205]]



DEPARTMENT OF AGRICULTURE

Agricultural Marketing Service

[Doc. No. LS-02-16]


Notice of Request for Emergency Approval of a New Information 
Collection

AGENCY: Agricultural Marketing Service, USDA.

ACTION: Notice and request for comment.

-----------------------------------------------------------------------

SUMMARY: In accordance with the Paperwork Reduction Act of 1995 (44 
U.S.C. chapter 35), this notice announces that the Agricultural 
Marketing Service is requesting emergency approval from the Office of 
Management and Budget for the new information collection, ``Interim 
Voluntary Country of Origin Labeling of Beef, Lamb, Pork, Fish, 
Perishable Agricultural Commodities, and Peanuts Under the Agricultural 
Marketing Act of 1946.''

DATES: Comments must be received by January 21, 2003, to be considered.

ADDRESSES: Send written comments to: (1) Country of Origin Labeling 
Program, Agricultural Marketing Service, USDA STOP 0249, Room 2092-S, 
1400 Independence Avenue, SW., Washington, DC 20250-0249, or fax to 
(202) 720-3499 or send by E-mail to [email protected]; (2) Office of 
Management and Budget, New Executive Office Building, 725 17th Street, 
NW., Room 725, Washington, DC 20503, Attention: Desk Officer; and to 
(3) Clearance Officer, USDA-OCIO, Room 404-W, Jamie L. Whitten 
Building, STOP 7602, 1400 Independence Avenue, SW., Washington, DC 
20250-7602.
    All comments will become a matter of public record. Comments will 
be available for public inspection from the Agricultural Marketing 
Service (AMS) at the above address and over the Agency's Web site at: 
http://www.ams.usda.gov/cool/.

FOR FURTHER INFORMATION CONTACT: Eric Forman, Associate Deputy 
Administrator, Fruit and Vegetable Programs, AMS, USDA, at: 
[email protected], or William Sessions, Associate Deputy 
Administrator, Livestock and Seed Program, AMS, USDA, at: 
[email protected].

SUPPLEMENTARY INFORMATION: Title: Interim Voluntary Country of Origin 
Labeling of Beef, Lamb, Pork, Fish, Perishable Agricultural 
Commodities, and Peanuts Under the Authority of the Agricultural 
Marketing Act of 1946.
    OMB Number: 0581-XXXX.
    Type of Request: New Collection.
    Abstract: Section 10816 of the Farm Security and Rural Investment 
Act of 2002 (Pub. L. 107-171) amended the Agricultural Marketing Act of 
1946 (7 U.S.C. 1621 et seq.) to require the Department of Agriculture 
(USDA) to issue country of origin labeling guidelines for use by 
retailers who wish to notify their customers voluntarily of the country 
of origin of beef (including veal), lamb, pork, fish, perishable 
agricultural commodities, and peanuts. These guidelines for the interim 
voluntary country of origin labeling of beef, lamb, pork, fish, 
perishable agricultural commodities, and peanuts were published in the 
September 11, 2002, Federal Register (67 FR 63367). Public Law 107-171 
also requires the Secretary to promulgate requirements for mandatory 
labeling by September 30, 2004. It is the intent of the Agency that 
these guidelines, and experience gained through their voluntary 
adoption by the industry, will serve as the basis of the requirements 
that will be developed to implement the mandatory labeling program.
    The voluntary guidelines prescribe minimum requirements for a 
recordkeeping system and refer to the enforcement provisions that will 
be a part of the mandatory program. Recordkeeping is essential to the 
integrity of any country of origin labeling program, whether it be a 
voluntary program or a mandatory program. Recordkeeping creates a paper 
trail that is a critical element in carrying out any internal reviews 
of a system conducted by industry representatives under a voluntary 
program or in enforcement audits that will be necessary for the Agency 
to conduct under the mandatory program. Additionally, the establishment 
of minimum recordkeeping requirements for the voluntary program serves 
the industry by providing a basis for the evaluation of compliance with 
the guidelines, for administering the program, for management decisions 
and planning, and for establishing the cost of the program. In 
addition, under the mandatory program, it supports administrative and 
regulatory actions the Agency may have to take in response to findings 
of noncompliance.
    In general, under the voluntary program, the information collected 
will be used by industry personnel. It will be created, maintained, 
and/or submitted by producers, importers, handlers, and retailers. 
Additionally, it will necessitate that all of these entities have 
recordkeeping procedures in place.
    The burden on each industry sector is discussed below. One major 
estimate made about each entity is the number of entities likely to 
participate in this voluntary program. Because the Agency has no basis 
to determine the level of participation in this program, it has 
estimated that all industry members that could be affected by the 
mandatory program will participate in the voluntary program. In 
estimating the burden hours associated with the recordkeeping 
requirements imposed on each industry sector, AMS drew upon its 
experience with the oversight of auditable and verifiable origin-based 
documented marketing programs already administered by the Agency.
    Producers (commercial farms, ranches, and fishermen). USDA 
estimates that there are approximately 2 million commercial farms, 
ranches, and fishermen in the United States. Although a number of these 
farms, ranches, and fishermen may not produce products that are covered 
by these guidelines, or sell to outlets that would require their 
suppliers to adopt these guidelines, this analysis assumes that all of 
these farms, ranches, and fishermen will implement a system for the 
voluntary labeling of the country of origin for the products these 
farms, ranches, and fishermen produce. AMS estimates that the time 
required for a producer to develop a recordkeeping system that would 
meet the requirements of these guidelines to be 1 day. AMS estimates 
that the ongoing

[[Page 70206]]

time required generating and maintaining the required records to be 
approximately 1 hour per month. Although AMS recognizes that many 
large-scale producers, such as large cattle feedlots, will require 
substantial more time than these estimates, AMS believes that the 
overall averages presented here to be accurate. For the purposes of 
this program, AMS also estimates the hourly rate, or value of time for 
a producer to be $25 per hour.
    Accordingly, AMS estimates that the total burden for producers to 
develop a recordkeeping system that would comply with these guidelines 
to be 2 million producers x $25 per hour x 8 hours, or $400 million. In 
addition, AMS estimates that the total annual burden for producers to 
generate and maintain the records required to comply with these 
voluntary guidelines to be 2 million producers x $25 per hour x 12 
hours, or $600 million. Therefore, the total potential burden of this 
program on producers in the first year could be $400 million + $600 
million, or $1 billion.
    Food Handlers (including packers, processors, importers, 
wholesalers, and distributors): AMS estimates that there are 100,000 
food handlers. Although a number of these food handlers may not process 
or handle products that are covered by these guidelines or sell to 
outlets that would require their suppliers to adopt these guidelines, 
this analysis assumes that all of these food handlers will implement a 
system for the voluntary labeling of the country of origin for the 
products they process or handle. AMS estimates that the time required 
for a food handler to develop a recordkeeping system that would meet 
the requirements of these guidelines to be 2 days. AMS estimates that 
the ongoing time required generating and maintaining the required 
records to be approximately 1 hour per week. Although AMS recognizes 
that many large facilities, such as large-scale meatpackers, will 
require substantially more time than these estimates, AMS believes that 
the overall averages presented here to be accurate. For the purposes of 
this program, AMS also estimates the hourly rate, or value of time for 
a food handler to be $50 per hour.
    Accordingly, AMS estimates that the total burden for food handlers 
to develop a recordkeeping system that would comply with these 
guidelines to be 100,000 food handlers x $50 per hour x 16 hours, or 
$80 million. In addition, AMS estimates that the total annual burden 
for food handlers to generate and maintain the records required to 
comply with these voluntary guidelines to be 100,000 food handlers x 
$50 per hour x 52 hours, or $260 million. Therefore, the total 
potential burden of this program on food handlers in the first year 
could be $80 million + $260 million, or $340 million.
    Retailers: There are currently approximately 31,000 Perishable 
Agricultural Commodities Act licensee outlets that would be considered 
retailers and covered by these voluntary guidelines. Although a number 
of these retailers may choose not to adopt these guidelines, this 
analysis assumes that all of these retailers will implement a system 
for the voluntary labeling of the country of origin for the products 
they sell. AMS estimates that the time required for a retailer to 
develop a recordkeeping system that would meet the requirements of 
these guidelines to be 5 days. AMS estimates that the ongoing time 
required generating and maintaining the required records to be 
approximately 1 hour per day. Although AMS recognizes that many large 
retailers, such as supermarkets, will require substantially more time 
than these estimates, AMS believes that the overall averages presented 
here to be accurate. For the purposes of this program, AMS also 
estimates the hourly rate, or value of time for the employee of a 
retailer to be $50 per hour and that a retailer will work 7 days a 
week.
    Accordingly, AMS estimates that the total burden for retailers to 
develop a recordkeeping system that would comply with these guidelines 
to be 31,000 retailers x $50 per hour x 40 hours, or $62 million. In 
addition, AMS estimates that the total annual burden for retailers to 
generate and maintain the records required to comply with these 
voluntary guidelines to be 31,000 retailers x $50 per hour x 365 hours, 
or $565.75 million. Therefore, the total potential burden of this 
program on retailers in the first year could be $62 million + $565.75 
million, or $627.75 million.
    Annual Reporting and Recordkeeping Burden for the First Year:
    Estimated Number of Respondents: 2,131,000.
    Total Annual Hours: 59,355,000.
    Total Cost: $1,967,750,000.
    Comments. Comments are requested on these recordkeeping 
requirements. Comments are specifically invited on: (1) Whether the 
recordkeeping is necessary for the proper operation of this voluntary 
program, including whether the information would have practical 
utility; (2) the accuracy of USDA's estimate of the burden of the 
recordkeeping requirements, including the validity of the methodology 
and assumptions used; (3) ways to enhance the quality, utility, and 
clarity of the records to be maintained; and (4) ways to minimize the 
burden of the recordkeeping on those who are to maintain and/or make 
the records available, including the use of appropriate automated, 
electronic, mechanical, or other technological recordkeeping techniques 
or other forms of information technology.

    Dated: November 14, 2002.
A.J. Yates,
Administrator, Agricultural Marketing Service.
[FR Doc. 02-29602 Filed 11-20-02; 8:45 am]
BILLING CODE 3410-02-P