[Federal Register Volume 75, Number 212 (Wednesday, November 3, 2010)]
[Rules and Regulations]
[Pages 67605-67607]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2010-27788]


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DEPARTMENT OF AGRICULTURE

Agricultural Marketing Service

7 CFR Part 920

[Doc. No. AMS-FV-08-0085; FV08-920-3 FIR]


Kiwifruit Grown in California; Changes to District Boundaries

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 removed the grower district 
boundaries contained in the administrative rules and regulations of the 
kiwifruit marketing order (order). The interim rule removed regulatory 
language referring to eight grower districts from the order's 
administrative rules and regulations to make them consistent with the 
recently amended order provisions, which now provide for three grower 
districts.

DATES: Effective Date: Effective November 4, 2010.

FOR FURTHER INFORMATION CONTACT: Laurel May or Kathleen M. Finn, 
Marketing Order Administration Branch, Fruit and Vegetable Programs, 
AMS, USDA; Telephone: (202) 720-2491, Fax: (202) 720-8938; or E-mail:

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[email protected] or [email protected].
    Small businesses may obtain information on complying with this and 
other marketing order regulations by viewing a guide at the following 
Web site: http://www.ams.usda.gov/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 Order 
No. 920, as amended (7 CFR part 920), regulating the handling of 
kiwifruit grown in California, 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.
    This rule has been reviewed under Executive Order 12988, Civil 
Justice Reform. This rule is not intended to have retroactive effect.
    The order was recently amended by redefining the grower districts 
into which the California kiwifruit production area is divided. 
Previously, there were eight grower districts defined in the order. Due 
to shifts in acreage and the consolidation of grower entities within 
the production area, the production area is now divided into three 
grower districts. Language in Sec.  920.131 of the order's 
administrative rules and regulations provided the specific boundaries 
for eight grower districts, but that language is not consistent with 
the amended order.
    In an interim rule published in the Federal Register on July 23, 
2010, and effective on August 1, 2010, Sec.  920.131 specifying the 
boundaries for eight grower districts was removed. The boundaries for 
the three grower districts under the amended order are provided in 
Sec.  920.12.

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 so 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.
    Small agricultural service firms, which include handlers regulated 
under the order, have been defined by the Small Business Administration 
(SBA) (13 CFR 121.201) as those having annual receipts of less than 
$7,000,000. Small agricultural growers have been defined as those with 
annual receipts of less than $750,000.
    There are approximately 30 handlers of kiwifruit subject to 
regulation under the order and approximately 220 growers of kiwifruit 
in the regulated area. Information provided by the committee indicates 
that the majority of California kiwifruit handlers and growers would be 
considered small entities according to the SBA's definition.
    The order regulates the handling of kiwifruit grown in the State of 
California. At the time the order was promulgated, kiwifruit acreage 
was more widespread throughout California and there were many more 
growers involved in kiwifruit production. The order originally provided 
for eight grower districts within the production area, with one 
membership seat apportioned to each district, and an additional seat 
reallocated annually to each of the three districts with the highest 
production in the preceding year. The structure was designed to afford 
equitable representation for all districts on the committee.
    Planted acreage has been gradually concentrated into two main 
regions in recent years. That, and the decline in the number of growers 
over time, prompted consolidation of the districts and reallocation of 
grower member seats through the formal rulemaking process. Under the 
amended order, the production area is divided into three grower 
districts, and committee membership is allocated proportionately among 
the districts based upon the previous five years' average production 
for each district. These changes are expected to better reflect the 
current composition of the industry.
    This rule continues in effect the action that removed Sec.  920.131 
from the order's administrative rules and regulations, effective August 
1, 2010. The section specified the boundaries for eight grower 
districts. As such, it would be inconsistent with the amended Sec.  
920.12, which provides the boundaries for three grower districts.
    The changes in the interim rule were necessary to conform with 
amendments to the order, which became effective on August 1, 2010. No 
alternatives to this action were deemed appropriate.
    Regarding the impact of this action on the affected entities, both 
large and small entities are expected to benefit from the change. The 
revision in the interim rule provides consistency between the amended 
marketing order and its administrative rules and regulations. The order 
amendment is expected to ensure that the interests of all large and 
small entities are represented appropriately during committee 
deliberations.
    Committee meetings in which regulatory recommendations and other 
decisions are made are open to the public. All members are able to 
participate in committee deliberations, and each committee member has 
an equal vote. Others in attendance at meetings are also allowed to 
express their views.
    At committee meetings held on January 30, 2008, April 22, 2008, and 
July 9, 2008, the committee voted unanimously to recommend amending the 
order by revising the grower districts into which the production area 
is divided. The committee's recommendations were submitted to AMS on 
August 15, 2008. Growers approved the amendment to redefine district 
boundaries in a referendum held in March 2010. The amendment became 
effective August 1, 2010.
    This rule will not impose any additional reporting or recordkeeping 
requirements on large or small kiwifruit 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.
    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: www.regulations.gov and type the 
following docket number into the keyword search section: FV08-920-3 IR. 
Follow the link provided in the ``Results'' section of the page.
    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

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finalizing the interim rule, without change, as published in the 
Federal Register (75 FR 43038; July 23, 2010), will tend to effectuate 
the declared policy of the Act.

List of Subjects in 7 CFR Part 920

    Kiwifruit, Marketing agreements, Reporting and recordkeeping 
requirements.

0
Accordingly, the interim rule that amended 7 CFR part 920 and that was 
published at 75 FR 43038 on July 23, 2010, is adopted as a final rule 
without change.

    Dated: October 25, 2010.
Robert C. Keeney,
Acting Associate Administrator, Agricultural Marketing Service.
[FR Doc. 2010-27788 Filed 11-2-10; 8:45 am]
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