[Federal Register Volume 75, Number 207 (Wednesday, October 27, 2010)]
[Rules and Regulations]
[Pages 65937-65938]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2010-27196]
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Rules and Regulations
Federal Register
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Federal Register / Vol. 75, No. 207 / Wednesday, October 27, 2010 /
Rules and Regulations
[[Page 65937]]
DEPARTMENT OF AGRICULTURE
Agricultural Marketing Service
7 CFR Part 924
[Doc. No. AMS-FV-10-0054; FV10-924-2 FIR]
Fresh Prunes Grown in Designated Counties in Washington and in
Umatilla County, OR; Suspension of Reporting and Assessment
Requirements
AGENCY: Agricultural Marketing Service, USDA.
ACTION: Affirmation of interim rule as final rule.
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SUMMARY: The Department of Agriculture (USDA) is adopting, as a final
rule, without change, an interim rule that suspended the reporting and
assessment requirements prescribed under the Washington-Oregon fresh
prune marketing order. The marketing order regulates the handling of
fresh prunes grown in designated counties in Washington and in Umatilla
County, Oregon, and is administered locally by the Washington-Oregon
Fresh Prune Marketing Committee (Committee). On June 1, 2010, the
Committee unanimously voted to terminate Marketing Order No. 924. Since
the only regulatory actions then in effect were the reporting and
assessment requirements, the Committee included a recommendation to
immediately suspend those activities while USDA processes the
termination request. The reporting and assessment requirements will
remain suspended until reinstated or permanently terminated.
DATES: Effective October 28, 2010.
FOR FURTHER INFORMATION CONTACT: Robert Curry or Gary Olson, Northwest
Marketing Field Office, Marketing Order Administration Branch, Fruit
and Vegetable Programs, AMS, USDA; Telephone: (503) 326-2724, Fax:
(503) 326-7440, or E-mail: [email protected] or
[email protected].
Small businesses may obtain information on complying with this and
other marketing order and agreement regulations by viewing a guide at
the following Web site: http://www.ams.usda.gov/AMSv1.0/ams.fetchTemplateData.do?template=TemplateN&page=MarketingOrdersSmallBusinessGuide; or by contacting Antoinette Carter, 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 rule is issued under Marketing
Agreement and Order No. 924 (7 CFR 924), regulating the handling of
fresh prunes grown in designated counties in Washington and in Umatilla
County, Oregon, hereinafter referred to as the ``order.'' The order is
effective under the Agricultural Marketing Agreement Act of 1937, as
amended (7 U.S.C. 601-674), hereinafter referred to as the ``Act.''
The Department of Agriculture (USDA) is issuing this rule in
conformance with Executive Order 12866.
Marketing Order No. 924 has been in effect since 1960 and has
provided the fresh prune industry in Washington and Oregon with
authority for grade, size, quality, maturity, pack, and container
regulations, as well as authority for inspection requirements. The
order also authorizes production research and marketing research and
development projects, as well as the necessary reporting and
recordkeeping functions required for operation. Based on the
Committee's recommendation, USDA suspended the order's handling
regulations in May 2006. These handling regulations required that
certain varieties of fresh prunes meet minimum grade standards. The
Committee believed that the costs of inspection outweighed the benefits
provided from having the regulatory requirements in effect.
Following the regulatory suspension, the Committee continued to
levy assessments in order to maintain its functionality. The Committee
felt that it should continue to fund its full operational capability in
order to gauge the merits of the handling regulation suspension. When
it recommended suspension of the handling regulations, the Committee
also recommended the establishment of reporting requirements for the
purpose of tracking shipments and collecting assessments. Prior to the
handling regulation suspension, the Committee relied on the Federal-
State Inspection Service to provide it with copies of the certificates
that accompany each lot of inspected fresh prunes. The inspection
certificates contained information necessary for the Committee to
collect assessments from each of the regulated handlers. A new section
924.160 and Committee form ``Handler Statement for Washington-Oregon
Fresh Prunes'' were implemented in the Federal Register on May 9, 2006,
at 71 FR 26817. The Committee used this form to collect fresh prune
shipment information and to monitor market and crop conditions, thus
helping it to make a determination regarding the impact of non-
regulation on the industry.
Based on its analysis that the regulatory suspension has not
negatively impacted the marketing of fresh prunes over the last four
years, and the fact that the Washington-Oregon fresh prune industry has
been decreasing in size and volume in recent years, the Committee
determined that there is no longer a need for the order, and thus
recommended termination at the meeting held in Prosser, Washington, on
June 1, 2010.
In addition, the Committee determined that there is no need to
continue collecting assessments and requiring reports for the sole
purpose of maintaining its functionality, thus recommended that the
assessment rate and reporting requirements be immediately suspended.
This action will relieve the industry of the assessment and reporting
burden during the pendency of the termination process.
The Committee recommended a budget of $6,085 for the remainder of
the period leading to order termination. The budgeted amount was
established on the basis of the amount remaining in the Committee's
monetary reserve. The budget in its entirety will provide for such
operating expenses as are necessary during the termination
[[Page 65938]]
process, including a final financial review and management
compensation.
In an interim rule published in the Federal Register on July 23,
2010, and effective on July 24, 2010 (75 FR 43040, Doc. No. AMS-FV-10-
0054, FV10-924-2 IR), Sec. Sec. 924.160 and 924.236 were suspended.
Final Regulatory Flexibility Analysis
Pursuant to requirements set forth in the Regulatory Flexibility
Act (RFA) (5 U.S.C. 601-612), 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 the rules issued thereunder, are unique in
that they are brought about through group action of essentially small
entities acting on their own behalf.
There are six handlers of Washington-Oregon fresh prunes subject to
regulation under the order and approximately 56 fresh prune producers
in the regulated area. Small agricultural service firms are defined by
the Small Business Administration (SBA) (13 CFR 121.201) as those
having annual receipts of less than $7,000,000, and small agricultural
producers are defined as those having annual receipts of less than
$750,000.
Based on information compiled by both the Committee and the
National Agricultural Statistics Service, the average producer price
for fresh prunes in 2009 was approximately $385 per ton. With 4,260
tons of fresh prunes shipped from the Washington and Oregon production
areas in 2009, this equates to average producer revenue of about
$30,000. In addition, AMS Market News Service reported that 2009 f.o.b.
prices ranged from $12.00 to $18.00 per 30-pound container, thus the
entire Washington-Oregon fresh prune industry handled less than
$7,000,000 worth of prunes last season. In view of the foregoing, the
majority of Washington-Oregon fresh prune producers and handlers may be
classified as small entities.
The Committee made the recommendation to suspend the reporting and
assessment requirements as an adjunct to the recommendation to
terminate the order. As such, the only other alternative would have
been to continue to assess handlers and to require reports, options not
seriously considered since additional funds are not required.
This action continues in effect the action that suspended the
reporting and assessment obligations imposed on handlers. During any
period when effective, assessments are applied uniformly on all
handlers and some of the costs may be passed on to producers. This
suspension of the reporting and assessment requirements reduces the
burden on handlers and should also reduce the burden on producers.
This rule will not impose any additional reporting or recordkeeping
requirements on either small or large prune handlers. As with all
Federal marketing order programs, reports and forms are periodically
reviewed to reduce information requirements and duplication by industry
and public sector agencies. In addition, USDA has not identified any
relevant Federal rules that duplicate, overlap or conflict with this
rule.
The Committee's meeting was widely publicized throughout the
Washington-Oregon fresh prune industry and all interested persons were
invited to attend the meeting and participate in Committee
deliberations. Like all Committee meetings, the June 1, 2010, meeting
was a public meeting and all entities, both large and small, were able
to express their views on this issue.
Comments on the interim rule were required to be received on or
before September 21, 2010. No comments were received. Therefore, for
the reasons given in the interim rule, we are adopting the interim rule
as a final rule, without change.
To view the interim rule, go to: http://www.regulations.gov/search/Regs/home.html#documentDetail?R=0900006480b1fd84.
This action also affirms information contained in the interim rule
concerning Executive Orders 12866 and 12988, the Paperwork Reduction
Act (44 U.S.C. chapter 35), and the E-Gov Act (44 U.S.C. 101).
After consideration of all relevant material presented, it is found
that finalizing the interim rule, without change, as published in the
Federal Register (75 FR 43039, July 23, 2010) will tend to effectuate
the declared policy of the Act.
List of Subjects in 7 CFR Part 924
Prunes, Marketing agreements, Reporting and recordkeeping
requirements.
PART 924--FRESH PRUNES GROWN IN DESIGNATED COUNTIES IN WASHINGTON
AND IN UMATILLA COUNTY, OREGON
0
Accordingly, the interim rule that amended 7 CFR part 924 and was
published at 75 FR 43039 on July 23, 2010, is adopted as a final rule,
without change.
Dated: October 21, 2010.
David R. Shipman,
Acting Administrator, Agricultural Marketing Service.
[FR Doc. 2010-27196 Filed 10-26-10; 8:45 am]
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