[Federal Register Volume 77, Number 233 (Tuesday, December 4, 2012)]
[Rules and Regulations]
[Pages 71688-71689]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2012-29253]


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DEPARTMENT OF AGRICULTURE

Agricultural Marketing Service

7 CFR Part 915

[Doc. No. AMS-FV-11-0094; FV12-915-1 FIR]


Avocados Grown in South Florida; Decreased Assessment Rate

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 decreased the assessment 
rate established for the Avocado Administrative Committee (Committee) 
for the 2012-13 and subsequent fiscal periods from $0.37 to $0.25 per 
55-pound bushel container of Florida avocados handled. The Committee 
locally administers the marketing order for avocados grown in South 
Florida. The interim rule decreased the assessment rate to reflect a 
reduction in expenditures for research and to help reduce industry 
costs.

DATES: Effective December 5, 2012.

FOR FURTHER INFORMATION CONTACT: Doris Jamieson or Christian D. Nissen, 
Southeast Marketing Field Office, Marketing Order and Agreement 
Division, Fruit and Vegetable Program, AMS, USDA; Telephone: (863) 324-
3375, Fax: (863) 325-8793, or Email: [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 Laurel May, Marketing Order and Agreement Division, Fruit 
and Vegetable Program, AMS, USDA, 1400 Independence Avenue SW., STOP 
0237, Washington, DC 20250-0237; Telephone: (202) 720-2491, Fax: (202) 
720-8938, or Email: [email protected].

SUPPLEMENTARY INFORMATION: This rule is issued under Marketing Order 
No. 915, as amended (7 CFR part 915), regulating the handling of 
avocados grown in South Florida, 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.''
    USDA is issuing this rule in conformance with Executive Order 
12866.
    Under the order, Florida avocado handlers are subject to 
assessments, which provide funds to administer the order. Assessment 
rates issued under the order are intended to be applicable to all 
assessable Florida avocados for the entire fiscal period, and continue 
indefinitely until amended, suspended, or terminated. The Committee's 
fiscal period begins on April 1, and ends on March 31.
    In an interim rule published in the Federal Register on July 2, 
2012, and effective on July 3, 2012, (77 FR 39150, Doc. No. AMS-FV-11-
0094, FV12-915-1 IR), Sec.  915.235 was amended by decreasing the 
assessment rate established for Florida avocados for the 2012-13 and 
subsequent fiscal periods from $0.37 to $0.25 per 55-pound bushel 
container. The decrease in the assessment rate reflects a reduction in 
Committee expenditures for research and will help reduce industry costs 
while still providing adequate funding to meet program expenses.

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 rule 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 approximately 30 handlers of Florida avocados subject to 
regulation under the order and around 300 producers in the production 
area. Small agricultural service firms are defined by the Small 
Business Administration (SBA) as those whose annual receipts are less 
than $7,000,000, and small agricultural producers are defined as those 
having annual receipts of less than $750,000 (13 CFR 121.201).
    According to Committee data and information from the National 
Agricultural Statistical Service (NASS), the average price for Florida 
avocados during the 2011-12 season was around $16.50 per 55-pound 
bushel container and total shipments were near 1,200,000 55-bushels. 
Using the average price and shipment information provided by the 
Committee, the majority of avocado handlers could be considered small 
businesses under SBA's definition. In addition, based on avocado 
production, producer prices, and the total number of Florida avocado 
producers, the average annual producer revenue is less than $750,000. 
Consequently, the majority of avocado handlers and producers may be 
classified as small entities.
    This rule continues in effect the action that decreased the 
assessment rate established for the Committee and collected from 
handlers for the 2012-13 and subsequent fiscal periods from $0.37 to 
$0.25 per 55-pound bushel container of avocados. The Committee 
unanimously recommended 2012-13 expenditures of $324,575 and an 
assessment rate of $0.25 per 55-pound bushel container of avocados. The 
assessment rate of $0.25 is $0.12 lower than the rate previously in 
effect. Applying the $0.25 per 55-pound bushel container assessment 
rate to the Committee's 1,000,000 55-pound bushel container crop 
estimate should provide $250,000 in assessment income. Thus, income 
derived from handler assessments, along with interest income and funds 
from the Committee's authorized reserve will be adequate to cover the 
budgeted expenses. The decrease in the assessment rate reflects a 
reduction in Committee expenditures for research and will help reduce 
industry costs.
    This rule continues in effect the action that decreased the 
assessment obligation imposed on handlers.

[[Page 71689]]

Assessments are applied uniformly on all handlers, and some of the 
costs may be passed on to producers. However, decreasing the assessment 
rate reduces the burden on handlers, and may reduce the burden on 
producers.
    In addition, the Committee's meeting was widely publicized 
throughout the Florida avocado industry and all interested persons were 
invited to attend the meeting and participate in Committee 
deliberations on all issues. Like all Committee meetings, the December 
14, 2011, meeting was a public meeting and all entities, both large and 
small, were able to express views on this issue.
    In accordance with the Paperwork Reduction Act of 1995 (44 U.S.C. 
Chapter 35), the order's information collection requirements have been 
previously approved by the Office of Management and Budget (OMB) and 
assigned OMB No. 0581-0189, Generic OMB Fruit Crops. No changes in 
those requirements as a result of this action are anticipated. Should 
any changes become necessary, they would be submitted to OMB for 
approval.
    This action imposes no additional reporting or recordkeeping 
requirements on either small or large Florida avocado 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.
    USDA has not identified any relevant Federal rules that duplicate, 
overlap or conflict with this rule.
    Comments on the interim rule were required to be received on or 
before August 31, 2012. No comments were received. Therefore, for 
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/#!documentDetail;D=AMS-FV-11-0094-0001.
    This action also affirms information contained in the interim rule 
concerning Executive Orders 12866 and 12988, 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 (77 FR 39150, July 2, 2012) will tend to effectuate 
the declared policy of the Act.

List of Subjects in 7 CFR Part 915

    Avocados, Reporting and recordkeeping requirements.

PART 915--AVCOADOS GROWN IN SOUTH FLORIDA

    Accordingly, the interim rule amending 7 CFR part 915, which was 
published at 77 FR 39150 on July 2, 2012, is adopted as a final rule, 
without change.

    Dated: November 28, 2012.
David R. Shipman,
Administrator, Agricultural Marketing Service.
[FR Doc. 2012-29253 Filed 12-3-12; 8:45 am]
BILLING CODE 3410-02-P