[Federal Register Volume 69, Number 17 (Tuesday, January 27, 2004)]
[Proposed Rules]
[Pages 3854-3859]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 04-1602]


 ========================================================================
 Proposed Rules
                                                 Federal Register
 ________________________________________________________________________
 
 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.
 
 ========================================================================
 

  Federal Register / Vol. 69, No. 17 / Tuesday, January 27, 2004 / 
Proposed Rules  

[[Page 3854]]



DEPARTMENT OF AGRICULTURE

Agricultural Marketing Service

7 CFR Part 1220

[No. LS-03-09]


Soybean Promotion and Research Program: Procedures to Request a 
Referendum

AGENCY: Agricultural Marketing Service, USDA.

ACTION: Proposed rule.

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

SUMMARY: This proposed rule would amend the procedures for soybean 
producers to request a referendum on the Soybean Promotion and Research 
Order (Order), as authorized under the Soybean Promotion, Research, and 
Consumer Information Act (Act). The changes are intended to improve the 
operation of these procedures. The Act provides that the Department of 
Agriculture (USDA), 5 years after the conduct of the initial referendum 
and every 5 years thereafter, will give soybean producers the 
opportunity to request an additional referendum on the Order. 
Individual producers and other producer entities would be provided the 
opportunity to request a referendum during a specified period announced 
by USDA, at the county Farm Service Agency (FSA) office where FSA 
maintains and processes the producer's administrative farm records. For 
the producer not participating in FSA programs, the opportunity to 
request a referendum would be provided at the county FSA office serving 
the county where the producer owns or rents land. If at least 10 
percent of U.S. soybean producers (not in excess of one-fifth of which 
may be producers in any one State) support the conduct of a referendum, 
a referendum must be conducted within 1 year of that determination.

DATES: Written comments must be received by February 17, 2004.

ADDRESSES: Send comments to Kenneth R. Payne, Chief; Marketing Programs 
Branch; Livestock and Seed Program; Agricultural Marketing Service 
(AMS), USDA, Room 2638-S; STOP 0251; 1400 Independence Avenue, SW., 
Washington, DC 20250-0251. Comments may also be sent electronically to 
[email protected] or by facsimile at (202) 720-1125. All 
comments should reference the docket number LS-03-09, the date, and the 
page number of this issue of the Federal Register. Comments received 
may be inspected at this location between 8 a.m. and 4:30 p.m., Monday 
through Friday, except holidays, or via the Internet at http://www.ams.usda.gov/lsg/mpb/rp-soy.htm.

FOR FURTHER INFORMATION CONTACT: Kenneth R. Payne, Chief, Marketing 
Programs Branch on (202) 720-1115, fax (202) 720-1125, or by e-mail at 
[email protected] or Phil Brockman, USDA, Farm Service Agency, on 
(202) 690-8034, fax (202) 720-5900, or by e-mail on 
[email protected].
    Producers can determine the location of county FSA offices by 
contacting (1) the nearest county FSA office, (2) the State FSA office, 
or (3) through an online search of FSA's Web site at http://www.fsa.usda.gov/pas/default.asp. From the options available on this 
Web page select ``Your local office,'' click on your State, and click 
on the map to select a county.

SUPPLEMENTARY INFORMATION:

Executive Orders 12866

    The Office of Management and Budget (OMB) has waived the review 
process required by Executive Order 12866 for this action.

Executive Orders 12988

    This proposed rule has been reviewed under Executive Order 12988, 
Civil Justice Reform. This proposal is not intended to have a 
retroactive effect. This proposed rule would 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 1971 of the Act, a 
person subject to the Order may file a petition with USDA stating that 
the Order, any provision of the Order, or any obligation imposed in 
connection with the Order, is not in accordance with the law and 
requesting a modification of the Order or an exemption from the Order. 
The petitioner is afforded the opportunity for a hearing on the 
petition. After a hearing, USDA would rule on the petition. The Act 
provides that the district courts of the United States in any district 
in which such person is an inhabitant, or has their principal place of 
business, has jurisdiction to review USDA's ruling on the petition, if 
a complaint for this purpose is filed within 20 days after the date of 
the entry of the ruling.
    Further, section 1974 of the Act provides, with certain exceptions, 
that nothing in the Act may be construed to preempt or supersede any 
other program relating to soybean promotion, research, consumer 
information, or industry information organized and operated under the 
laws of the United States or any State. One exception in the Act 
concerns assessments collected by Qualified State Soybean Boards 
(QSSBs). The exception provides that to ensure adequate funding of the 
operations of QSSBs under the Act, no State law or regulation may limit 
or have the effect of limiting the full amount of assessments that a 
QSSB in that State may collect, and which is authorized to be credited 
under the Act. Another exception concerns certain referenda conducted 
during specified periods by a State relating to the continuation or 
termination of a QSSB or State soybean assessment.

Regulatory Flexibility Act

    The Agricultural Marketing Service has determined that this 
proposed rule will not have a significant impact on a substantial 
number of small entities as defined by the Regulatory Flexibility Act 
(RFA) (5 United States Code (U.S.C.) 601 et seq.). Participation in the 
Request for Referendum is voluntary. Not all persons subject to the 
Order are expected to participate. USDA personnel would determine 
producer eligibility.
    For the purposes of the Request for Referendum, the Secretary would 
use the most recent number of soybean producers identified by USDA's 
FSA. The latest number of soybean producers identified by FSA was 
obtained by averaging the number of soybeans producers for crop years 
2001 (597,151) and 2002 (573,825). Therefore, the

[[Page 3855]]

number of soybean producers who would be eligible to participate in the 
Request for Referendum would be 585,488. The majority of producers 
subject to the Order are small businesses under the criteria 
established by the Small Business Administration (SBA) (13 CFR 
121.201). SBA defines small agricultural producers as those having 
annual receipts of less than $750,000 annually.
    This proposed rule would revise the current procedures for soybean 
producers to request a referendum on the Order. The proposed changes 
affect a number of sections in subpart F of part 1220, and include 
requiring documentation with form LS-51-1 to demonstrate that the 
producer or producer entity paid soybean assessments. Other changes are 
intended to improve the operation of the procedures. The procedures to 
request a referendum on the Soybean Checkoff Program would permit all 
eligible producers who have been engaged in the production of soybeans 
or soybean products, during a representative period, to participate.
    The information collection requirements, as discussed below, are 
minimal. Requesting a form by mail, in-person, facsimile, or via the 
Internet would not impose a significant economic burden on 
participants. Accordingly, the Administrator of AMS has determined that 
this proposed rule will not have a significant economic impact on a 
substantial number of small business entities.

Paperwork Reduction Act

    In accordance with the Paperwork Reduction Act of 1990 (44 U.S.C. 
Chapter 35), the reporting and recordkeeping requirements included in 7 
CFR part 1220 were previously approved by OMB and were assigned OMB 
control number 0581-0093. The purpose of this proposed rule is to 
provide soybean producers the opportunity to request a referendum on 
the Order. The proposed changes would affect the information collection 
requirements by requiring documentation to be provided with form LS-51-
1. However, providing the documentation will have no significant impact 
on the approved per response burden for form LS-51-1.

Background

    The Act (7 U.S.C. 6301-6311) provides for the establishment of a 
coordinated program of promotion and research designed to strengthen 
the soybean industry's position in the marketplace, and to maintain and 
expand domestic and foreign markets and uses for soybeans and soybean 
products. The program is financed by an assessment of 0.5 of 1 percent 
of the net market price of soybeans sold by producers. The final Order 
establishing a Soybean Promotion, Research, and Consumer Information 
program was published in the July 9, 1991, issue of the Federal 
Register (56 FR 31043) and assessments began on September 1, 1991.
    The Act required that an initial referendum be conducted no earlier 
than 18 months and not later than 36 months after the issuance of the 
Order to determine whether the Order should be continued.
    The initial referendum was conducted on February 9, 1994. On April 
1, 1994, the Secretary announced that of the 85,606 valid ballots cast, 
46,060 (53.8 percent) were in favor of continuing the Order and the 
remaining 39,546 votes (46.2 percent) were against continuing the 
Order. The Act required approval by a simple majority for the Order to 
continue.
    The Act also required that within 18 months after the Secretary 
announced the results of the initial referendum, the Secretary would 
conduct a poll among producers to determine if producers favored a 
referendum on the continuance of the payment of refunds under the 
Order.
    A July 25, 1995, nationwide poll of soybean producers did not 
generate sufficient support for a refund referendum to be held. A 
refund referendum would have been held if at least 20 percent (not in 
excess of one-fifth of which may be producers in any one State) of the 
381,000 producers (76,200) nationwide requested it. Only 48,782 soybean 
producers participated in the poll. Consequently, refunds were 
discontinued on October 1, 1995.
    The Act also specifies that the Secretary shall, 5 years after the 
conduct of the initial referendum and every 5 years thereafter, provide 
soybean producers an opportunity to request a referendum on the Order. 
On October 1, 1999, through November 16, 1999, a nationwide request for 
a referendum on the Order was conducted to determine if there was 
sufficient interest among soybean producers to vote on whether to 
continue the Soybean Checkoff Program. If at least 10 percent of the 
600,813 soybean producers nationwide (not in excess of one-fifth of 
which may be producers in any one State) participated in the request 
for referendum, a referendum would have been held. Only 17,970 eligible 
soybean producers completed valid requests--far short of the 60,082 
required to trigger a referendum.
    For all such referendums, if the Secretary determines that at least 
10 percent of U.S. producers engaged in growing soybeans (not in excess 
of one-fifth of which may be producers in any one State) support the 
conduct of a referendum, the Secretary must conduct a referendum within 
1 year of that determination. If these requirements are not met, no 
referendum would be conducted.
    For the purposes of the Request for Referendum, USDA determined 
that they would use the most recent data of soybean producers 
identified by USDA's FSA. The latest number of soybean producers 
identified by FSA was 597,151 soybeans producers for crop year 2001 and 
573,825 soybean producers for crop year 2002. The information for crop 
years 2001 and 2002 are based on acreage reports compiled by FSA on a 
daily basis. Using the last two crop years would help ensure that all 
eligible producers were counted. Since some producers use soybeans in 
rotation with other crops and do not plant soybeans every year or the 
market for some producers in a particular crop year may not have been 
conducive for growing soybeans, averaging two crop years would help 
ensure that all eligible producers were counted.
    In an effort to follow procedures similar to determining the number 
of soybean producers for the Request for Referendum that was conducted 
in 1999, USDA averaged the number of soybean producers for crop years 
2001 and 2002, which averages 585,488 soybean producers. Therefore, 
USDA has determined that the number of soybean producers who would be 
eligible to participate in the Request for Referendum would be 585,488.
    The Act provides that producers shall have an opportunity to 
request a referendum during a period established by the Secretary. 
Eligible persons must certify on an official form that they were 
engaged in the growing of soybeans during a representative period 
specified by the Secretary, and indicate that they favor the conduct of 
a referendum. Further, producers would be required to provide 
documentation, such as sales receipts, showing that an assessment was 
paid during the representative period. USDA proposes that the Request 
for Referendum period would be a 4-week period announced by the 
Secretary and that the representative period for which a producer was 
engaged in the growing of soybeans would be January 1, 2001, to 
December 31, 2003. The Act also provides that a Request for Referendum 
may be made in person or by mail-in request at county

[[Page 3856]]

Cooperative Extension Service offices or county FSA offices. USDA 
proposes that providing soybean producers an opportunity to request a 
referendum at the county FSA office would give soybean producers the 
greatest opportunity to request a referendum.
    The proposed rule sets forth revised procedures for producers to 
request a referendum as authorized under the Act, including 
definitions, eligibility, certification and request procedures, 
reporting results, and disposition of the forms and records. FSA would 
coordinate State and county FSA roles in conducting the Request for 
Referendum by (1) determining producer eligibility, (2) canvassing and 
counting requests, and (3) reporting the results.
    The following are the proposed revisions to the Order, subpart F, 
``Procedures to Request a Referendum.'' We believe that publishing the 
entire subpart F of the Order would be easier for commenters to review 
than only publishing the parts that were revised.
    Sections 1220.600 through 1220.615 are revised by removing the 
phrase ``the term'' from all of the definitions. In addition, the 
definition for ``Department'' was deleted; however, it is defined in 
subpart A, which applies to all subparts of the Order. Definitions for 
``Farm Service Agency State Committee'' and ``Farm Service Agency State 
Executive Director'' were also added.
    Section 1220.616, the number of soybean producers was revised from 
600,813 to 585,488.
    Section 1220.618, ``Eligibility,'' is revised by requesting 
producers to provide evidence that they or the producer entity that 
they represent has paid the soybean assessment during the 
representative period.
    Section 1220.619, ``Time and place for requesting a referendum,'' 
added two paragraphs to assist persons in locating FSA county offices 
and determining which FSA county office to vote.
    Section 1220.620, ``Facilities,'' explains the type of facilities 
that FSA is to provide to persons voting in the request for referendum.
    Section 1220.622, ``Certification and request procedures,'' 
clarified the procedures in requesting a referendum in terms of 
completing form LS-51-1, providing documentation that the soybean 
assessment was paid during the representative period, how to obtain 
forms by mail, facsimile, or via the Internet, and how to return the 
form and documentation.
    Current procedures provide that FSA county offices list and post 
the names of producers that request a referendum. Any person could 
challenge a producer or producer entity's eligibility. Instead, USDA is 
proposing that producers and producer entities provide documentation 
that they paid the soybean assessment when they complete form LS-51-1. 
FSA will then determine whether the producer is eligible, based on the 
documentation submitted by the producer or producer entity. If FSA 
cannot determine the person's eligibility or if the person failed to 
submit the documentation, then FSA shall notify ineligible persons in 
writing. Persons declared ineligible by FSA have the opportunity to 
provide additional documentation and will then be notified by FSA of 
their eligibility.
    Section 1220.623, ``Canvassing requests,'' explains that county FSA 
offices are to start canvassing form LS-51-1 on the 5th business day 
following the Request for Referendum period. It also explains who and 
how the canvassing is to be conducted.
    Section 1220.624, ``Confidentiality,'' was added to not divulge 
names of persons requesting a referendum.
    The remainder of the proposed Request for Referendum procedures is 
similar to the 1999 Request for Referendum procedures, as well as, 
counting and reporting the results from FSA county offices to FSA State 
offices to the FSA Administrator to the AMS Administrator, and 
ultimately announcing the results in a press release and in the Federal 
Register.
    A 20-day comment period is provided for interested persons to 
comment on this proposed rule. This comment period is deemed 
appropriate because the Act provides that the Secretary, 5 years after 
the conduct of the initial referendum, will give soybean producers the 
opportunity to request additional referenda on the Order. A 20-day 
comment period will assist in timely implementation of this rule 
consistent with the provisions of the Act.

List of Subjects in 7 CFR Part 1220

    Administrative practice and procedure, Advertising, Agricultural 
research, Marketing agreements, Soybeans and soybean products, 
Reporting and recordkeeping requirements.

    For the reasons set forth in the preamble, it is proposed that 
title 7, part 1220 be amended as follows:

PART 1220--SOYBEAN PROMOTION, RESEARCH, AND CONSUMER INFORMATION

    1. The authority citation for 7 CFR part 1220 continues to read as 
follows:

    Authority: 7 U.S.C. 6301-6311.

    2. Subpart F is revised to read as follows:
Subpart F--Procedures To Request a Referendum

Definitions

Sec.
1220.600 Act.
1220.601 Administrator, AMS.
1220.602 Administrator, FSA.
1220.603 Farm Service Agency.
1220.604 Farm Service Agency County Committee.
1220.605 Farm Service Agency County Executive Director.
1220.606 Farm Service Agency State Committee.
1220.607 Farm Service Agency State Executive Director.
1220.608 Order.
1220.609 Person.
1220.610 Producer.
1220.611 Public notice.
1220.612 Representative period.
1220.613 Secretary.
1220.614 Soybeans.
1220.615 State and United States.

Procedures

1220.616 General.
1220.617 Supervision of the process for requesting a referendum.
1220.618 Eligibility.
1220.619 Time and place for requesting a referendum.
1220.620 Facilities.
1220.621 Certifications and request form.
1220.622 Certification and request procedures.
1220.623 Canvassing requests.
1220.624 Confidentiality.
1220.625 Counting requests.
1220.626 FSA county office report.
1220.627 FSA State office report.
1220.628 Results of the request for referendum.
1220.629 Disposition of records.
1220.630 Instructions and forms.

Subpart F--Procedures To Request a Referendum

Definitions


Sec. 1220.600  Act.

    Act means the Soybean, Promotion, Research, and Consumer 
Information Act set forth in title XIX, subtitle E, of the Food, 
Agriculture, Conservation, and Trade Act of 1990 (Pub. L. 101-624), and 
any amendments thereto.


Sec. 1220.601  Administrator, AMS.

    Administrator, AMS, means the Administrator of the Agricultural 
Marketing Service, or any officer or employee of USDA to whom there has 
been delegated or may be delegated the authority to act in the 
Administrator's stead.

[[Page 3857]]

Sec. 1220.602  Administrator, FSA.

    Administrator, FSA, means the Administrator, of the Farm Service 
Agency, or any officer or employee of USDA to whom there has been 
delegated or may be delegated the authority to act in the 
Administrator's stead.


Sec. 1220.603  Farm Service Agency.

    Farm Service Agency also referred to as ``FSA'' means the Farm 
Service Agency of USDA.


Sec. 1220.604  Farm Service Agency County Committee.

    Farm Service Agency County Committee, also referred to as ``FSA 
County Committee or COC,'' means the group of persons within a county 
who are elected to act as the Farm Service Agency County Committee.


Sec. 1220.605  Farm Service Agency County Executive Director.

    Farm Service Agency County Executive Director, also referred to as 
``CED,'' means the person employed by the FSA County Committee to 
execute the policies of the FSA County Committee and to be responsible 
for the day-to-day operation of the FSA county office, or the person 
acting in such capacity.


Sec. 1220.606  Farm Service Agency State Committee.

    Farm Service Agency State Committee, also referred to as ``FSA 
State Committee,'' means the group of persons within a State who are 
appointed by the Secretary to act as the Farm Service Agency State 
Committee.


Sec. 1220.607  Farm Service Agency State Executive Director.

    Farm Service Agency State Executive Director, also referred to as 
``SED,'' means the person employed by the FSA State Committee to 
execute the policies of the FSA State Committee and to be responsible 
for the day-to-day operation of the FSA State office, or the person 
acting in such capacity.


Sec. 1220.608  Order.

    Order means the Soybean Promotion and Research Order.


Sec. 1220.609  Person.

    Person means any individual, group of individuals, partnership, 
corporation, association, cooperative, or any other legal entity.


Sec. 1220.610  Producer.

    Producer means any person engaged in the growing of soybeans in the 
United States who owns or who shares the ownership and risk of loss of 
such soybeans.


Sec. 1220.611  Public notice.

    Public notice means a notice published in the Federal Register, not 
later than 60 days prior to the last day of the Request for Referendum 
period, that provides information regarding the Request for Referendum 
period. Such notification shall include, but not be limited to 
explanation of producers' rights, procedures to request a referendum, 
the purpose, dates of the Request for Referendum period, location for 
conducting the Request for Referendum, and eligibility requirements. 
Additionally, the United Soybean Board is required to provide 
producers, in writing, this same information during the same time 
period. Other pertinent information shall also be provided, without 
advertising expense, through press releases by State and county FSA 
offices and other appropriate Government offices, by means of 
newspapers, electronic media, county newsletters, and the like.


Sec. 1220.612  Representative period.

    Representative period means the period designated by the Secretary 
pursuant to section 1970 of the Act.


Sec. 1220.613  Secretary.

    Secretary means the Secretary of Agriculture of the United States 
Department of Agriculture (USDA) or any other officer or employee of 
USDA to whom there has been delegated or to whom there may be delegated 
the authority to act in the Secretary's stead.


Sec. 1220.614  Soybeans.

    Soybeans means all varieties of glycine max or glycine soja.


Sec. 1220.615  State and United States.

    State and United States include the 50 States of the United States 
of America, the District of Columbia, and the Commonwealth of Puerto 
Rico.

Procedures


Sec. 1220.616  General.

    An opportunity to request a referendum shall be provided to U.S. 
soybean producers to determine whether eligible producers favor the 
conduct of a referendum and the Request for Referendum shall be carried 
out in accordance with this subpart.
    (a) The opportunity to request a referendum shall be provided at 
the county FSA offices.
    (b) If the Secretary determines, based on results of the Request 
for Referendum that no less than 10 percent (not in excess of one-fifth 
of which may be producers in any one State) of all producers have 
requested a referendum on the Order, a referendum would be held within 
1 year of that determination.
    (c) If the Secretary determines, based on the results of the 
Request for Referendum, that the requirements in paragraph (b) of this 
section were not met, a referendum would not be conducted.
    (d) For purposes of paragraphs (b) and (c) of this section, the 
number of soybean producers in the United States is determined to be 
585,488.


Sec. 1220.617  Supervision of the process for requesting a referendum.

    The Administrator, AMS, shall be responsible for supervising the 
process of permitting producers to request a referendum in accordance 
with this subpart.


Sec. 1220.618  Eligibility.

    (a) Eligible producers. Each person who was a producer and provides 
evidence that they or the producer entity they represent has paid an 
assessment on soybeans during the representative period is provided the 
opportunity to request a referendum. Each producer entity is entitled 
to only one request.
    (b) Proxy Registration. Proxy registration is not authorized, 
except that an officer or employee of a corporate producer, or any 
guardian, administrator, executor, or trustee of a producer's estate, 
or an authorized representative of any eligible producer entity (other 
than an individual producer), such as a corporation or partnership, may 
request a referendum on behalf of that entity. Any individual who 
requests a referendum on behalf of any producer entity, shall certify 
that he or she is authorized by such entity to take such action.
    (c) Joint and group interest. A group of individuals, such as 
members of a family, joint tenants, tenants in common, a partnership, 
owners of community property, or a corporation engaged in the 
production of soybeans as a producer entity shall be entitled to make 
only one request for a referendum; provided, however, that any 
individual member of a group who is an eligible producer separate from 
the group may request a referendum separately.


Sec. 1220.619  Time and place for requesting a referendum.

    (a) The opportunity to request a referendum shall be provided 
during a 4-week period beginning and ending on a date determined by the 
Secretary. Eligible persons shall have the opportunity to request a 
referendum by following the procedures in Sec. 1220.622

[[Page 3858]]

during the normal business hours of each county FSA office.
    (b) Producers can determine the location of county FSA offices by 
contacting the nearest county FSA office, the State FSA office or 
through an online search of FSA's Web site at http://www.fsa.usda.gov/pas/default.asp.
    (c) Each eligible person shall vote in the county FSA office where 
FSA maintains and processes the producer's, corporation's, or other 
entities administrative farm records. For the producer, corporation, or 
other entity not participating in FSA programs, the opportunity to 
request a referendum would be provided at the county FSA office serving 
the county where the producer, corporation, or other legal entity owns 
or rents land. An individual or authorized representative of a 
corporation who grows soybeans in more than one county would request a 
referendum in the county FSA office where the individual or corporation 
or other entity does most of its business.


Sec. 1220.620  Facilities.

    Each county FSA office will provide:
    (a) A polling place that is well known and readily accessible to 
producers in the county and that is equipped and arranged so that each 
person can complete and submit their request in secret without 
coercion, duress, or interference of any sort whatsoever, and
    (b) A holding container of sufficient size so arranged that no 
request can be read or removed without breaking seals on the container.


Sec. 1220.621  Certification and request form.

    Form LS-51-1 shall be used to request a referendum and certify 
producer eligibility. The form does not require a ``yes'' or ``no'' 
vote. Individual producers and representatives of other producer 
entities should read the form carefully. By completing and signing the 
form, the individual simultaneously certifies eligibility and requests 
that a referendum be conducted.


Sec. 1220.622  Certification and request procedures.

    (a) To request that a referendum be conducted, each eligible 
producer shall, during the Request for Referendum period, be provided 
the opportunity to request a referendum during a specified period 
announced by the Secretary.
    (1) Each eligible producer shall be required to complete form LS-
51-1 in its entirety and sign it. The producer must legibly print his/
her name and, if applicable, the producer entity represented, address, 
county, and telephone number. The producer must read the certification 
statement on form LS-51-1 and sign it certifying that:
    (i) The person or the producer entity they represent was a producer 
of soybeans during the representative period;
    (ii) The individual requesting a referendum on behalf of a 
corporation or other entity is authorized to do so; and
    (iii) The individual has submitted only one request for a 
referendum unless they are also an authorized representative for 
another eligible corporation or other entity.
    (2) The producer, corporation, or other entity must also provide 
documentation, such as a sales receipt, showing that the producer, 
corporation, or other entity has paid assessments on soybeans during 
the representative period.
    (3) Only a completed and signed form LS-51-1 accompanied by 
documentation showing that soybean assessments were paid during the 
representative period shall be considered a valid request for a 
referendum.
    (b) To request a referendum, eligible producers may obtain form LS-
51-1 in-person, by mail, or by facsimile during the request for 
referendum period from the county FSA office where FSA maintains and 
processes the producer's, corporation's, or other entity's 
administrative farm records. For the producer, corporation, or other 
entity not participating in FSA programs, the opportunity to request a 
referendum would be provided at the county FSA office serving the 
county where the producer, corporation, or other entity owns or rents 
land. Eligible producers may also obtain form LS-51-1 via the Internet 
at http://www.ams.usda.gov/lsg/mpb/rp-soy.htm. For those persons who 
chose to obtain form LS-51-1 via the Internet, the completed form and 
required documentation must be submitted to the county FSA office where 
FSA maintains and process the producer's, corporation's, or other 
entity's administrative farm records. For producer, corporation, or 
other entity not participating in FSA programs, the opportunity to 
request a referendum would be provided at the county FSA office serving 
the county where the producer, corporation, or other entity owns or 
rents land.
    (c) Producers or producer entities may return form LS-51-1 and the 
accompanying documentation in-person, by mail, or facsimile as provided 
in paragraph (a) of this section. Form LS-51-1 returned in-person or by 
facsimile, must be received in the appropriate county FSA office prior 
to the close of the work day on the final day of the Request for 
Referendum period to be considered a valid request. Forms LS-51-1 and 
the accompanying documentation returned by mail must be postmarked no 
later than midnight of the final day of the Request for Referendum 
period and must be received in the county FSA office prior to the start 
of canvassing the ballots.
    (d) Producers who obtain form LS-51-1 in-person at the appropriate 
FSA county office may complete and return the form the same day, 
accompanied by documentation, such as a sales receipt, showing that 
soybean assessments were paid during the representative period.


Sec. 1220.623  Canvassing requests.

    (a) Canvassing of form LS-51-1 shall take place at the opening of 
county FSA offices on the 5th business day following the Request for 
Referendum period. Such canvassing, acting on behalf of the 
Administrator, AMS, shall be in the presence of at least two members of 
the county committee. If two or more of the counties have been combined 
and are served by one county office, the canvassing of the requests 
shall be conducted by at least one member of the county committee from 
each county served by the county office. The FSA State committee or the 
State Executive Director if authorized by the State Committee, may 
designate the County Executive Director (CED) and a county or State FSA 
office employee to canvass the requests and report the results instead 
of two members of the county committee when it is determined that the 
number of eligible voters is so limited that having two members of the 
county committee present for this function is impractical, and 
designate the CED and/or another county or State FSA office employee to 
canvass requests in any emergency situation precluding at least two 
members of the county committee from being present to carry out the 
functions required in this section.
    (b) The request for referendum should be canvassed as follows:
    (1) Number of eligible requests for a referendum. Each person who 
was a producer during the representative period and provides 
documentation to prove that they are a producer will be considered 
eligible to request a referendum.
    (2) Number of ineligible requests for a referendum. If FSA cannot 
determine that a producer is eligible based on the submitted 
documentation or if the producer fails to submit the required 
documentation, the producer shall be determined to be ineligible. FSA 
shall notify ineligible producers in writing as soon as practicable but 
no later than the

[[Page 3859]]

8th business day following the final day of the Request for Referendum 
period.
    (c) Appeal. A person declared to be ineligible by FSA can appeal 
such decision and provide additional documentation to the FSA county 
office within 5 business days after the postmark date of the letter of 
notification of ineligibility. FSA will then make a final decision on 
the producer's eligibility and notify the producer of the decision.
    (d) Number of valid requests for referendum. A person has been 
declared eligible and has provided and completed all of the required 
information on form LS-51-1.
    (e) Number of invalid request for a referendum. An invalid request 
for referendum includes, but is not limited to the following:
    (1) Form LS-51-1 is not signed or all required information has not 
been provided;
    (2) Form LS-51-1 returned in-person or by facsimile was not 
received by the last business day of the Request for Referendum period;
    (3) Form LS-51-1 returned by mail was not postmarked by midnight of 
the final day of the Request for Referendum period;
    (4) Form LS-51-1 returned by mail was not received in the county 
FSA office prior to canvassing of the ballots;
    (5) Form LS-51-1 is mutilated or marked in such a way that any 
required information on the form is illegible; or
    (6) Form LS-51-1 not returned to the appropriate county FSA office.


Sec. 1220.624  Confidentiality.

    The names of persons requesting a referendum shall be confidential 
and may not be divulged except as the Secretary may direct.


Sec. 1220.625  Counting requests.

    (a) The requests for a referendum shall be counted by county FSA 
offices on the same day as the requests are canvassed if there are no 
ineligibility determinations to resolve. For those county FSA offices 
that do have ineligibility determinations, the requests shall be 
counted no later than the 14th business day following the final day of 
the Request for Referendum period.
    (b) Requests for a referendum shall be counted as follows:
    (1) Total number of producers who returned a Request for Referendum 
form LS-51-1;
    (2) Number of ineligible producers requesting a referendum;
    (3) Number of eligible producers requesting a referendum;
    (4) Number of valid requests for a referendum; and
    (5) Number of invalid requests for a referendum.


Sec. 1220.626  FSA county office report.

    The county FSA office report shall be certified as accurate and 
complete by the CED or designee, acting on behalf of the Administrator, 
AMS, as soon as may be reasonably possible, but in no event later than 
18th business day following the final day of the specified period, have 
prepared and certified the county summary of requests on a form 
provided by the Administrator, FSA. Each county FSA office shall 
transmit the results in its county to the FSA State office. The results 
in each county may be made available to the public upon notification by 
the Administrator, FSA, that the final results have been released by 
the Secretary. A copy of the report shall be posted for 30 days 
following the date of notification by the Administrator, FSA, in the 
county FSA office in a conspicuous place accessible to the public. One 
copy shall be kept on file in the county FSA office for a period of at 
least 12 months after notification by FSA that the final results have 
been released by the Secretary.


Sec. 1220.627  FSA State office report.

    Each FSA State office shall transmit to the Administrator, FSA, as 
soon as possible, but in no event later than the 20th business day 
following the final day of the Request for Referendum period, a report 
summarizing the data contained in each of the reports from the county 
FSA offices. One copy of the State summary shall be filed for a period 
of not less than 12 months after the results have been released and 
available for public inspection after the results have been released.


Sec. 1220.628  Results of the request for referendum.

    (a) The Administrator, FSA, shall submit to the Administrator, AMS, 
the reports from all State FSA offices. The Administrator, AMS, shall 
tabulate the results of the Request for Referendum. USDA will issue an 
official press release announcing the results of the Request for 
Referendum and publish the same results in the Federal Register. In 
addition, USDA will post the official results at the following Web 
site: http://www.ams.usda.gov/lsg/mpb/rp-soy.htm. Subsequently, State 
reports and related papers shall be available for public inspection 
upon request during normal business hours in the Marketing Programs 
Branch office, Livestock and Seed Program, AMS, USDA, Room 2638-South, 
STOP 0251, 1400 Independence Avenue, SW., Washington, DC.
    (b) If the Secretary deems necessary, a State report or county 
report shall be reexamined and checked by such persons who may be 
designated by the Secretary.


Sec. 1220.629  Disposition of records.

    Each FSA CED will place in sealed containers marked with the 
identification of the ``Request for Soybean Referendum,'' all of the 
form LS-51-1's along with the accompanying documentation and county 
summaries. Such records will be placed in a secure location under the 
custody of the FSA CED for a period of not less than 12 months after 
the date of notification by the Administrator, FSA, that the final 
results have been announced by the Secretary. If the county FSA office 
receives no notice to the contrary from the Administrator, FSA, by the 
end of the 12 month period as described above, the CED or designee 
shall destroy the records.


Sec. 1220.630  Instructions and forms.

    The Administrator, AMS, is authorized to prescribe additional 
instructions and forms not inconsistent with the provisions of this 
subpart.

    Dated: January 21, 2004.
A.J. Yates,
Administrator, Agricultural Marketing Service.
[FR Doc. 04-1602 Filed 1-26-04; 8:45 am]
BILLING CODE 3410-02-P