[Federal Register Volume 71, Number 82 (Friday, April 28, 2006)]
[Notices]
[Page 25133]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: E6-6388]


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 Notices
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  Federal Register / Vol. 71, No. 82 / Friday, April 28, 2006 / 
Notices  

[[Page 25133]]



DEPARTMENT OF AGRICULTURE

Agricultural Marketing Service

[Doc. No. FV06-372]


 Notice of Change in Interest Rate Awarded in Reparation 
Proceedings Under the Perishable Agricultural Commodities Act

AGENCY: Agricultural Marketing Service, USDA.

ACTION: Notice.

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SUMMARY: The Department of Agriculture (USDA) has changed the method 
used to calculate the interest to be awarded in reparation awards 
issued under the Perishable Agricultural Commodities Act (PACA).
    Additional Information: Contact Dexter Thomas, Senior Marketing 
Specialist, PACA Branch, Fruit and Vegetable Programs, AMS, USDA, 1400 
Independence Avenue, SW., Room 2095--South Building , Mail Stop 0242, 
Washington, DC 20250-0242. [email protected]. This notice 
will also be posted on the Internet at http://www.ams.usda.gov/fv/paca.htm.

SUPPLEMENTARY INFORMATION: Since 1992, reparation awards issued 
pursuant to the provisions of the Perishable Agricultural Commodities 
Act, 1930, as amended (7 U.S.C. 499a et seq.) (PACA), have included 
interest at the rate of 10 percent per annum on the basic damage award 
to provide the injured party the full amount of damages sustained. 
Public notice is hereby given that the Secretary of Agriculture, 
through the Judicial Officer, will now assess interest in PACA 
reparation awards consistent with the methodology set forth in 28 
U.S.C. 1961 which sets forth a uniform rate of interest on any monetary 
judgment in a civil case recovered in district court, as well as final 
judgments against the United States in the United States Court of 
Appeals for the Federal circuit, and judgments of the United States 
Court of Federal Claims.
    In an Order on Reconsideration issued on February 21, 2006, in a 
reparation proceeding under the PACA (PGB International, LLC, v. Bayche 
Companies, Inc., PACA Docket Number R-05-118, Decision on 
Reconsideration (2006)), the Judicial Officer noted that there should 
be consistency in the rate of interest on monetary judgments awarded in 
all federal forums. Since a claim can be pursued in a federal district 
court rather than under the PACA, and since the decision of the 
Secretary is appealable to the Federal district courts, the Judicial 
Officer found it appropriate for the Secretary to follow the same 
procedural statute for assessing interest on money judgments as in 
civil cases recovered in other Federal courts. The Judicial Officer 
further noted that other federal agencies have also determined that it 
is appropriate to utilize the formula stated in 28 U.S.C. 1961 to set 
the interest rate on monetary awards made in an administrative forum.
    Accordingly, all reparation awards issued under the PACA subsequent 
to the Judicial Officer's February 21, 2006, Order shall be calculated 
in accordance with 28 U.S.C. 1961. The interest rate shall be 
calculated on the date of the Order, at a rate equal to the weekly 
average 1-year constant maturity treasury yield, as published by the 
Board of Governors of the Federal Reserve System, for the calendar week 
preceding the date of the Order.

    Dated: April 24, 2006.
Lloyd C. Day,
Administrator, Agricultural Marketing Service.
 [FR Doc. E6-6388 Filed 4-27-06; 8:45 am]
BILLING CODE 3410-02-P