[Federal Register Volume 76, Number 124 (Tuesday, June 28, 2011)]
[Rules and Regulations]
[Pages 37617-37618]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2011-16136]



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  Federal Register / Vol. 76, No. 124 / Tuesday, June 28, 2011 / Rules 
and Regulations  

[[Page 37617]]



DEPARTMENT OF AGRICULTURE

Agricultural Marketing Service

7 CFR Part 925

[Doc. No. AMS-FV-06-0185; FV06-925-610 Review]


Grapes Grown in a Designated Area of Southeastern California; 
Section 610 Review

AGENCY: Agricultural Marketing Service, USDA.

ACTION: Confirmation of regulations.

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SUMMARY: This action summarizes the results under the criteria 
contained in section 610 of the Regulatory Flexibility Act (RFA), of an 
Agricultural Marketing Service (AMS) review of Marketing Order No. 925 
regulating the handling of grapes grown in a designated area of 
southeastern California (order). Based upon its review, AMS has 
concluded that there is a continued need for the order.

ADDRESSES: Interested persons may obtain a copy of the review. Requests 
for copies should be sent to the Docket Clerk, Marketing Order 
Administration Branch, Fruit and Vegetable Programs, AMS, USDA, 1400 
Independence Avenue, SW., STOP 0237, Washington, DC 20250-0237; Fax: 
(202) 720-8938; or Internet: http://www.regulations.gov. The review may 
also be viewed online at: http://www.regulations.gov.

FOR FURTHER INFORMATION CONTACT: Kathie Notoro, Marketing Specialist, 
or Kurt J. Kimmel, Regional Manager, California Marketing Field Office, 
Marketing Order Administration Branch, Fruit and Vegetable Programs, 
AMS, USDA; Telephone: (559) 487-5901, Fax: (559) 487-5906; or E-mail: 
[email protected] or [email protected].

SUPPLEMENTARY INFORMATION: Marketing Order 925, as amended (7 CFR part 
925), regulates the handling of grapes grown in a designated area of 
southeastern California. The marketing order is effective under the 
Agricultural Marketing Agreement Act of 1937 (Act), as amended (7 
U.S.C. 601-674).
    The desert grape marketing order establishes the California Desert 
Grape Administrative Committee (Committee) as the administrative body 
charged with overseeing program operations. Staff is hired to conduct 
the daily administration of the program. The Committee consists of 12 
members. Five members represent producers, five represent handlers, one 
represents either producers or handlers (the ``at large'' member), and 
one member represents the public. Each member has an alternate. Members 
and alternate members are elected at annual nomination meetings.
    Currently, there are approximately 50 producers and 14 handlers of 
California desert grapes. In addition, there are approximately 100 
importers of grapes. The majority of the handlers and importers may be 
classified as small entities and the majority of producers may not be 
classified as small entities. The regulations implemented under the 
order are applied uniformly to small and large entities, and are 
designed to benefit all entities, regardless of size.
    AMS published in the Federal Register (64 FR 8014; February 18, 
1999), its plan to review certain regulations, including Marketing 
Order 925, under criteria contained in section 610 of the RFA (5 U.S.C. 
601-612). Updated plans were published in the Federal Register on 
January 4, 2002 (67 FR 525), August 14, 2003 (68 FR 48574), and again 
on March 24, 2006 (71 FR 14827). Accordingly, AMS published a notice of 
review and request for written comments on the California desert grape 
marketing order in the February 21, 2006, issue of the Federal Register 
(71 FR 8810). The deadline for comments ended April 24, 2006. Five 
comments were received in response to the notice, and are discussed 
later in this document.
    The review was undertaken to determine whether the desert grape 
marketing order should be continued without change, amended, or 
rescinded to minimize the impacts on small entities. In conducting this 
review, AMS considered the following factors: (1) The continued need 
for the marketing order; (2) the nature of complaints or comments 
received from the public concerning the marketing order; (3) the 
complexity of the marketing order; (4) the extent to which the 
marketing order overlaps, duplicates, or conflicts with other Federal 
rules, and, to the extent feasible, with State and local governmental 
rules; and (5) the length of time since the marketing order has been 
evaluated or the degree to which technology, economic conditions, or 
other factors have changed in the area affected by the marketing order.
    The marketing order authorizes the following activities: Quality 
control with mandatory outgoing inspection; container and pack 
requirements; packing holidays; production research; market research 
and development; and reporting requirements for collection and 
dissemination of shipment information.
    The quality control provisions of the order have helped to ensure a 
good quality of fruit is provided to consumers. Pack and container 
requirements provide uniformity in the marketing of grapes. Wholesalers 
and retailers are assured of consistency in the packaging of the 
product they receive and market. Packing holidays can help reduce 
buildup of excess inventories in handlers' warehouses. This can help to 
provide a more stable flow of product to market and relieve downward 
pressure on pricing. Collection and dissemination of handler 
information is useful to the industry in making production and 
marketing decisions. Finally, production research activities have 
helped the industry address specific issues that impact the growing of 
grapes in the production area. The quality control and inspection 
regulations are also applied to imported grapes under section 608e of 
the Act.
    Market research and development activities are authorized under the 
order but have not been implemented. Should the industry determine such 
programs may be beneficial in the future, it may choose to implement 
them. Funds to administer the marketing order are obtained from handler 
assessments.
    Based on the potential benefits of the marketing order to 
producers, handlers, and consumers, AMS has determined that the order 
should continue without change.
    In regard to complaints or comments received from the public 
regarding this

[[Page 37618]]

review, USDA received five comments from interested parties. In 
general, the comments addressed issues that were the subject of a 
separate notice and comment informal rulemaking action concerning 
proposed changes to the regulatory period under the marketing order 
that was completed with publication of a final rule on February 5, 2010 
(75 FR 5879). It is noted that the commenters also submitted similar 
comments in response to that rulemaking action. The comments have been 
addressed in that rulemaking proceeding.
    In considering the order's complexity, AMS has determined that the 
marketing order is not unduly complex.
    During the review, the order was also checked for duplication and 
overlap with other regulations. AMS did not identify any relevant 
Federal rules, or State and local regulations that duplicate, overlap, 
or conflict with the marketing order for California desert grapes.
    The marketing order was established in 1980. Since its inception, 
AMS and the California desert grape industry have continuously 
monitored its operations. Changes in regulations have been implemented 
to reflect current industry operating practices, and to solve marketing 
problems as they occur. The goal of these evaluations is to assure that 
the order and the regulations implemented under it fit the needs of the 
industry and are consistent with the Act.
    The Committee meets whenever needed to discuss the marketing order 
and the various regulations issued thereunder, and to determine if, or 
what, changes may be necessary to reflect current industry practices. 
As a result, numerous regulatory changes have been made over the years 
to address industry operation changes and to improve program 
administration. The marketing order itself has never been amended since 
its inception, but several regulatory changes have been made through 
informal rulemaking, as noted above, to ensure the program continues to 
meet the industry's needs.
    Accordingly, AMS has determined that the California desert grape 
marketing order should be continued. The marketing order was 
established to help the desert grape industry work with USDA to solve 
marketing problems. The marketing order continues to be beneficial to 
producers, handlers, and consumers.
    AMS will continue to work with the California desert grape industry 
in maintaining an effective program.

    Dated: June 22, 2011.
Rayne Pegg,
Administrator, Agricultural Marketing Service.
[FR Doc. 2011-16136 Filed 6-27-11; 8:45 am]
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