[Federal Register Volume 68, Number 43 (Wednesday, March 5, 2003)]
[Rules and Regulations]
[Pages 10345-10347]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 03-5080]



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 Rules and Regulations
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  Federal Register / Vol. 68, No. 43 / Wednesday, March 5, 2003 / Rules 
and Regulations  

[[Page 10345]]



DEPARTMENT OF AGRICULTURE

Agricultural Marketing Service

7 CFR Parts 911 and 944

[Docket No. FV03-911-1 FR]


Limes Grown in Florida and Imported Limes; Termination of 
Marketing Order and Implementing Rules and Regulations

AGENCY: Agricultural Marketing Service, USDA.

ACTION: Final rule; termination order.

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

SUMMARY: This final rule terminates the marketing order covering limes 
grown in Florida, the rules and regulations established under the 
order, and the requirements for limes imported into the United States 
that are shipped to the fresh market. The Department of Agriculture 
(USDA) has determined the order should be terminated due to the results 
of a recent referendum where growers indicated they did not support the 
continuance of the program. The termination of the import regulation is 
required under section 8e of the Agricultural Marketing Agreement Act 
of 1937.

EFFECTIVE DATE: March 6, 2003.

FOR FURTHER INFORMATION CONTACT: Doris Jamieson, Marketing Specialist, 
Southeast Marketing Field Office, Marketing Order Administration 
Branch, Fruit and Vegetable Programs, AMS, USDA, 799 Overlook Drive, 
Suite A, Winter Haven, Florida 33884; telephone (863) 324-3375, Fax 
(863) 325-8793; or Anne Dec, Marketing Order Administration Branch, 
Fruit and Vegetable Programs, AMS, USDA, 1400 Independence Avenue, SW 
STOP 0237, Washington, DC 20250-0237; telephone: (202) 720-2491, Fax: 
(202) 720-8938.
    Small businesses may request information on complying with this 
regulation by contacting Jay Guerber, Marketing Order Administration 
Branch, Fruit and Vegetable Programs, AMS, USDA, 1400 Independence 
Avenue, SW STOP 0237, Washington, DC 20250-0237; telephone: (202) 720-
2491, Fax: (202) 720-8938, or e-mail: [email protected].

SUPPLEMENTARY INFORMATION: This action is being taken under the 
provisions of section 8c(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. Sec.  911.49(b) and 911.64(d) of Marketing Order 
No. 911, regulating the handling of limes grown in Florida, hereinafter 
referred to as the ``order.''
    This final rule is also issued under section 8e of the Act, which 
provides that whenever certain specified commodities, including limes, 
are regulated under a Federal marketing order, imports of these 
commodities into the United States are prohibited unless they meet the 
same or comparable grade, size, quality, or maturity requirements as 
those in effect for the domestically produced commodities.
    USDA is issuing this rule in conformance with Executive Order 
12866.
    This final 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 8c(15)(A) of the 
Act, any handler subject to an order may file with USDA 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 USDA 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 USDA's ruling on the petition, 
provided an action is filed not later than 20 days after the date of 
the entry of the ruling.
    There are no administrative procedures which must be exhausted 
prior to any judicial challenge to the provisions of import regulations 
issued under section 8e of the Act.
    This rule terminates the marketing order covering Florida limes and 
the rules and regulations established under the order.
    The order has been in effect since 1955. It authorizes the 
establishment of grade, size, quality, pack, and container 
requirements, although such requirements have not been in effect since 
February 2002. The order also authorizes production and marketing 
research and development. The program is funded by assessments imposed 
on lime handlers.
    Section 911.64(d) of the order specifies that continuance referenda 
must be conducted among lime producers every sixth year before March 
31. Therefore, during the period from September 9 to September 28, 
2002, USDA conducted a referendum among lime growers to determine if 
they favored continuation of their program. The referendum order 
provided that USDA would consider terminating the provisions of the 
order if less than two-thirds of the number of growers voting and 
growers of less than two-thirds of the lime volume represented in the 
referendum favored continuance.
    Ballots were mailed to 54 known lime growers in Florida. By the 
close of the voting period, 11 valid votes had been cast. The results 
show that 18.2 percent of the growers voting, who produced 57.73 
percent of the volume represented in the referendum, favored 
continuation of the program. The order failed to pass either criteria 
for continuance, demonstrating a lack of producer support needed to 
carry out the objectives of the Act. In addition, effective February 
19, 2002 (67 FR 6837), grade, size, quality, maturity, pack, 
inspection, assessment collection, reporting, and other requirements 
prescribed under the order as specified in Sec. Sec.  911.110, 911.120, 
911.130, 911.131, 911.234, 911.311, 911.329, and 911.344 were 
suspended. Thus, it has been determined that the provisions of the 
order no longer tend to effectuate the declared policy of the Act.
    Therefore, pursuant to section 8c(16)(A) of the Act and Sec.  
911.64 of the order, it has been found that the order provisions should 
be terminated.

[[Page 10346]]

Section 8c(16)(A) of the Act requires USDA to notify Congress at least 
60 days before terminating a Federal marketing order program. Congress 
was so notified on November 6, 2002.
    Pursuant to Sec.  911.65 of the order, the members of the Lime 
Administrative Committee shall serve as trustees to conclude and 
liquidate the affairs of the committee.
    Section 8e of the Act provides that whenever certain specified 
commodities, including limes, are regulated under a Federal marketing 
order, imports of that commodity must meet the same or comparable 
grade, size, quality, and maturity requirements as those in effect for 
the domestically produced commodities. Since this rule terminates the 
lime marketing order for domestically produced limes and the resultant 
rules and regulations, a corresponding change to the import regulations 
must also be made.
    In addition, effective February 19, 2002 (67 FR 6837), grade, size, 
quality, maturity, pack, inspection, assessment collection, reporting, 
and other requirements prescribed under the order as specified in 
Sec. Sec.  911.110, 911.120, 911.130, 911.131, 911.234, 911.311, 
911.329, and 911.344 were suspended.
    Consequently, this rule removes Sec.  944.209.

Final Regulatory Flexibility Analysis

    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 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. Import regulations issued under 
the Act are based on those established under Federal marketing orders.
    There are approximately 54 producers of limes in the production 
area and approximately 6 handlers subject to regulation under the 
marketing order. In addition, approximately 240 importers of limes are 
subject to import regulations and will be impacted by this termination. 
Small agricultural producers are defined as those having annual 
receipts of less than $750,000, and small agricultural service firms, 
which include handlers and importers, are defined by the Small Business 
Administration (13 CFR 121.201) as those having annual receipts of less 
than $5,000,000.
    The average f.o.b. price for fresh limes during the 2000-01 season 
was around $14.75 per bushel and total shipments were 344,032 bushels 
for the season. Using this price and total volume for the season, all 
lime handlers could be considered small businesses under the SBA 
definition. The majority of Florida lime producers may also be 
classified as small entities.
    In calendar year 2000, imports of limes totaled 9.7 million 
bushels. Assuming the same average f.o.b. price as for Florida limes, 
the average importer receives gross receipts of about $600,000. Thus, 
the majority of lime importers can be classified as small entities.
    This final rule terminates the marketing order covering limes grown 
in Florida, the rules and regulations established under the order, and 
the requirements for limes imported into the United States that are 
shipped to the fresh market. USDA has determined the order should be 
terminated. In a recent referendum, growers indicated that they did not 
support the continuance of the program.
    This action eliminates program requirements imposed on lime 
handlers and importers. Minimum grade, size, maturity and quality 
requirements for limes imported into the United States are effective 
under Sec.  944.209 (7 CFR 944.209). As this rule terminates the 
marketing order for limes and the corresponding regulations, the import 
regulations for limes imported into the United States are also 
terminated. All regulations were previously suspended effective 
February 19, 2002.
    In accordance with the Paperwork Reduction Act of 1995 (44 U.S.C. 
Chapter 35), the information collection requirements being terminated 
by this rule were approved previously by the Office of Management and 
Budget (OMB) and assigned OMB No. 0581-0189. Termination of the order 
is expected to reduce the total annual reporting burden on Florida lime 
handlers by a total of 73.98 burden hours.
    USDA has not identified any relevant Federal rules that duplicate, 
overlap or conflict with this final rule.
    A small business guide on complying with fruit, vegetable, and 
specialty crop marketing agreements and orders may be viewed at: 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.
    In accordance with section 8e of the Act, the United States Trade 
Representative has concurred with the issuance of this final rule.
    After consideration of all relevant matter presented, including the 
results of a recently held producer referendum, it is hereby found that 
the lime marketing order and the rules and regulations in effect under 
the order do not tend to effectuate the declared policy of the Act and, 
therefore, are terminated.
    It is further found that it is impracticable, unnecessary, and 
contrary to the public interest to give preliminary notice, and that 
good cause exists for not postponing the effective date of this rule 
until 30 days after publication in the Federal Register (5 U.S.C. 553) 
because: (1) This action relieves restrictions on handlers and 
importers by terminating the requirements of the lime marketing order 
and the lime import regulations; (2) handlers were given notice of this 
action in a widely distributed press release issued on November 5, 
2002; (3) a final rule was published in the Federal Register on 
February 14, 2002, suspending all regulations from February 19, 2002 
through February 24, 2003; and (4) no useful purpose would be served by 
delaying the effective date.

List of Subjects

7 CFR Part 911

    Limes, Marketing agreements, Reporting and recordkeeping 
requirements.

7 CFR Part 944

    Avocados, Food grades and standards, Grapefruit, Grapes, Imports, 
Kiwifruit, Limes, Olives, Oranges.

    For the reasons set forth in the preamble, and under the authority 
of 7 U.S.C. 601-674, 7 CFR Parts 911 and 944 are amended as follows:

PART 911--[REMOVED]

    1. Part 911 is removed.

PART 944--FRUITS; IMPORT REGULATION


Sec.  944.209  [Removed]

    2. Section 944.209 is removed.


Sec.  944.350  [Amended]

    3. In Sec.  944.350, the word ``limes,'' is removed in the section 
heading and each place it appears in the section.

[[Page 10347]]

Sec.  944.400  [Amended]

    4. In Sec.  944.400, the word ``limes,'' is removed in the section 
heading and each place it appears in the section.

    Dated: February 26, 2003.
A.J. Yates,
Administrator, Agricultural Marketing Service.
[FR Doc. 03-5080 Filed 3-4-03; 8:45 am]
BILLING CODE 3410-02-P