[Federal Register Volume 71, Number 89 (Tuesday, May 9, 2006)]
[Rules and Regulations]
[Pages 26821-26823]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 06-4316]


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DEPARTMENT OF AGRICULTURE

Agricultural Marketing Service

7 CFR Part 1219

[Doc. No. FV-06-701-IFR]


Amendment to the Hass Avocado Promotion, Research, and 
Information Order: Adjust Representation on the Hass Avocado Board

AGENCY: Agricultural Marketing Service, USDA.

ACTION: Interim final rule with request for comment.

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SUMMARY: This interim final rule adjusts the number of members on the 
Hass Avocado Board (Board) to reflect changes in the production of 
domestic Hass avocados in the United States and the volume of Hass 
avocados imported into the U.S. over the 2003, 2004, and 2005 calendar 
years, which are three years after assessments commenced. These 
adjustments are required by the Hass Avocado Promotion, Research, and 
Information Order (Order). The result of the adjustment is one 
additional importer member and alternate and one less domestic producer 
member and alternate of Hass avocados that are subject to assessments. 
As a result of these changes, the Board membership would be composed of 
seven domestic producer members and alternates and five importer 
members and alternates. Currently, the Board is composed of eight 
domestic producer members and alternates, and four importer members and 
alternates. These changes to the Board are effective for the Secretary 
of Agriculture's 2006 appointments.

DATES: Effective May 10, 2006. Comments received by July 10, 2006 will 
be considered prior to issuance of a final rule.

ADDRESSES: Interested persons are invited to submit written comments 
concerning this rule to: Docket Clerk, Research and Promotion Branch, 
Fruit and Vegetable Programs (FV), Agricultural Marketing Service 
(AMS), USDA, Stop 0244, Room 2535-S, 1400 Independence Avenue, SW., 
Washington, DC 20250-0244; Fax: (202) 205-2800; or e-mail: 
[email protected]; or Internet: http://www.regulations.gov. All 
comments should reference the docket number, the date and page number 
of this issue of the Federal Register, and will be made available for 
public inspection in the above office during regular business hours, or 
can be viewed at: http://www.ams.usda.gov/fv/rpb.html.

[[Page 26822]]


FOR FURTHER INFORMATION CONTACT: Marlene M. Betts, Research and 
Promotion Branch, FV, AMS, USDA, Stop 0244, 1400 Independence Avenue, 
SW., Room 2535-S, Washington, DC 20250-0244, telephone (202) 720-9915, 
fax (202) 205-2800, or e-mail [email protected].

SUPPLEMENTARY INFORMATION: The Hass Avocado Promotion, Research, and 
Consumer Information Order (Order) is issued under the Hass Avocado 
Promotion, Research, and Information Act of 2000 (Act) [7 U.S.C. 7801-
7813].

Executive Order 12866

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

Executive Order 12988

    This interim final rule has been reviewed under Executive Order 
12988, Civil Justice Reform. This rule is not intended to have 
retroactive effect. Section 1212(c) of the Hass Avocado Promotion, 
Research, and Information Act of 2000 (Act) states that the Act may not 
be construed to preempt or supersede any other program relating to Hass 
avocado promotion, research, industry information, and consumer 
information organized and operated under the laws of the United States 
or of a State.
    Under section 1207(a)(1) of the Hass Avocado Promotion, Research, 
and Information Act of 2000 (Act), a person subject to the Order may 
file a petition with the Department (USDA) stating that the Order, any 
provision for the Order, or any obligation imposed in connection with 
the Order, is not established in accordance with law, and requesting a 
modification of the Order or an exemption from the Order. Any petition 
filed challenging the Order, any provision of the Order, or any 
obligation imposed in connection with the Order, shall be filed within 
two years after the effective date of the Order, provision, or 
obligation subject to challenge in the petition. The petitioner will 
have the opportunity for a hearing on the petition. Thereafter, USDA 
will issue a ruling on the petition. The Act provides that the district 
court of the United States in any district in which the petitioner 
resides or conducts business shall have the jurisdiction to review a 
final ruling on the petition, if the petitioner files a complaint for 
that purpose not later than 20 days after the date of the entry of 
USDA's final ruling.

Regulatory Flexibility Act and Paperwork Reduction Act

    In accordance with the Regulatory Flexibility Act (RFA) [5 U.S.C. 
601 et seq.], the Agency is required to examine the impact of this rule 
on small entities. The purpose of the RFA is to fit regulatory actions 
to the scale of businesses subject to such actions so that small 
businesses will not be disproportionately burdened. In accordance with 
the provision of the Act and section 1219.30 of the Order, this rule 
merely adjusts representation on the Board to reflect changes in 
production levels of domestic Hass avocados in the U.S. and the volume 
of imported Hass avocados into the U.S. over the 2003, 2004, and 2005 
calendar year. There are approximately 20,000 producers and 200 
importers, covered by the Hass avocado program. The Small Business 
Administration [13 CFR 121.201] defines small agricultural producers as 
those having annual receipts of $750,000 or less annually and small 
agricultural service firms as those having annual receipts of $6.5 
million or less. Importers would be considered agricultural service 
firms. Using these criteria, most producers and importers covered by 
the program would be considered small businesses under the criteria 
established by the Small Business Administration (13 CFR 121.201).
    At its January 2006 meeting, the Board reviewed the production for 
the domestic Hass avocados in the U.S. and the volume of imported Hass 
avocados over the 2003, 2004, and 2005 calendar years and decided to 
recommend one additional member and alternate member for importers and 
one less member and alternate for domestic producers of Hass avocados 
that are subject to the assessment. The total average combined volume 
of Hass avocados produced in the U.S. and imported into the U.S. for 
the 2003, 2004, and 2005 calendar years was 712 million pounds. Of this 
amount, 53.2 percent was Hass avocados imported into the U.S. and 46.8 
percent was domestically produced Hass avocados.
    Representation on the Board (12) is comprised of: (1) Seven 
producer members and their alternates; (2) two importer members and 
their alternates; and (3) three producer or importer members and their 
alternates, also known as the ``swing seats.'' Under the Act and Order, 
the three ``swing seats'' are allocated so as to reflect as nearly as 
possible the proportion of domestic production and imports supplying 
the U.S. market. The proportion is based on the average volume of 
domestic production and the average volume of imports into the U.S. 
market over the previous three years. With regard to alternatives, the 
adjustments to the three ``swing seats'' in this interim final rule are 
in conformance with the provisions of the Act and Order. This rule 
merely adjusts representation on the Board to provide the ``swing 
seats'' with three importer members and imposes no new burden on the 
industry.
    There are no relevant Federal rules that duplicate, overlap, or 
conflict with this rule.
    In accordance with the Office of Management and Budget (OMB) 
regulation [5 CFR part 1320] which implements the Paperwork Reduction 
Act of 1995 [44 U.S.C. chapter 35], the information collection and 
recordkeeping requirements that are imposed by the Order have been 
approved previously under OMB control number 0581-0093. This rule does 
not result in a change to the information collection and recordkeeping 
requirements previously approved.
    We have performed this Initial Regulatory Flexibility Analysis 
regarding the impact of this rule on small entities, and we invite 
comments concerning potential effects of the rule.

Background

    The Hass Avocado Promotion, Research, and Information Act of 2000 
(Act) (7 U.S.C. 7801-7813); the Act provides for the establishment of a 
coordinated program of promotion, research, industry information, and 
consumer information designed to strengthen the avocado industry's 
position in the domestic marketplace, and to maintain, develop, and 
expand markets and uses for Hass avocados in the domestic marketplace. 
The program is financed by an assessment of 2.5 cents per pound on 
fresh Hass avocados produced and handled in the U.S. and on fresh Hass 
avocados imported into the U.S. Also under the Act, the Secretary may 
issue regulations. Pursuant to the Act, an Order was made effective 
September 9, 2002. The Order established a Board of 12 members and 
alternates. For purposes of establishing the Board, seven members and 
their alternates shall be producers of Hass avocados; two members and 
their alternates shall be importers of Hass avocados; and, three 
members and their alternates shall be producers or importers of Hass 
avocados, also known as the ``swing seats.'' The three ``swing seats'' 
are allocated so as to reflect as nearly as possible the proportion of 
domestic production and imports supplying the U.S. market. Such

[[Page 26823]]

proportion is determined using the average volume of domestic 
production and the average volume of imports into the U.S. market over 
the previous three years.
    Section 1219.30(c) of the Order provides that at the end of three 
years after assessment funds began, the Board shall review the 
production of domestic Hass avocados in the U.S. and the volume of 
imported Hass avocados on the basis of the amount of assessments 
collected from producers and importers over the immediately preceding 
three-year period. The Board may recommend to the Secretary 
modification to the Board based on proportion of domestic production 
and imports supplying the U.S. market.
    At its January 2006 meeting, the Board reviewed the production for 
the domestic Hass avocados in the U.S. and the volume of imported Hass 
avocados over the 2003, 2004, and 2005 calendar years and decided to 
recommended one additional member and alternate member for importers 
and one less member and alternate for domestic producers of Hass 
avocados that are subject to the assessment. The total average combined 
volume of Hass avocados produced in the U.S. and imported into the U.S. 
for the 2003, 2004, and 2005 calendar years was 712 million pounds. Of 
this amount, 53.2 percent was Hass avocados imported into the U.S. and 
46.8 percent was domestically produced Hass avocados.
    Representation on the Board (12) is comprised of: (1) Seven 
producer members and their alternates; (2) two importer members and 
their alternates; and, (3) three producer or importer members and their 
alternates, also known as the ``swing seats.'' Under the Act and Order 
the three ``swing seats'' are allocated so as to reflect as nearly as 
possible the proportion of domestic production and imports supplying 
the U.S. market. The proportion is based on the average volume of 
domestic production and the average volume of imports into the U.S. 
market over the previous three years.
    The current 12 member Board is composed of eight producer members 
and alternates, and four importer members and alternates; meaning (1) 
Seven producer members and alternates; (2) two importer members and 
alternates; and, (3) of the three ``swing seats'' two are currently 
importer member and alternate seats and one is a producer member and 
alternate seat.
    Representation on the Board based on the changes in the production 
of domestic Hass avocados and the volume of imported Hass avocadoes 
into the U.S. over the 2003, 2004, and 2005 calendar year results in 
one additional importer member and alternate and one less producer 
member and alternate. Accordingly, all of the ``swing seats'' are 
importers' therefore, the 12-member Board will be comprised of seven 
producer members and alternates and five importer members and 
alternates.
    Pursuant to 5 U.S.C. 553, it is found and determined upon good 
cause that it is impracticable, unnecessary, and contrary to the public 
interest to give preliminary notice prior to putting this rule into 
effect and that good cause exists for not postponing the effective date 
of this rule until 30 days after publication in the Federal Register 
because the Board adjustment provided for in this interim final rule 
needs to be effective as soon as possible in order to complete the 2006 
Board appointments.

List of Subjects in 7 CFR Part 1219

    Administrative practice and procedure, Advertising, Consumer 
information, Hass avocados, Hass avocado promotion, Marketing 
agreements, Reporting and recordkeeping requirements.


0
For the reasons set forth in the preamble, 7 CFR part 1219 is amended 
as follows:

PART 1219--HASS AVOCADO PROMOTION, RESEARCH, AND INFORMATION

0
1. The authority citation for part 1219 continues to read as follows:

    Authority: 7 U.S.C. 7801-7813.

Subpart C--Rules and Regulations

0
2. A new Sec.  1219.203 is added to read as follows:


Sec.  1219.203  Reapportionment of membership.

    Pursuant to Sec.  1219.30(c), the positions authorized in Sec.  
1219.30(b)(3) are reapportioned as follows: 3 importer members and 
their alternates.

    Dated: May 3, 2006.
Kenneth C. Clayton,
Acting Administrator, Agricultural Marketing Service.
[FR Doc. 06-4316 Filed 5-8-06; 8:45 am]
BILLING CODE 3410-02-P