[Federal Register Volume 79, Number 164 (Monday, August 25, 2014)]
[Rules and Regulations]
[Pages 50537-50538]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2014-20116]



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 Rules and Regulations
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  Federal Register / Vol. 79, No. 164 / Monday, August 25, 2014 / Rules 
and Regulations  

[[Page 50537]]



DEPARTMENT OF AGRICULTURE

Agricultural Marketing Service

7 CFR Part 33

[Doc. No. AMS-FV-14-0022; FV14-33-1 FIR]


Regulations Issued Under the Export Apple Act; Exempting Bulk 
Shipments to Canada From Minimum Requirements and Inspection

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 revised the regulations 
issued under the Export Apple Act to exempt bulk shipments of apples to 
Canada from the minimum requirements and inspection provisions of the 
Export Apple Act and established a definition for bulk containers. The 
changes were necessary because section 10009 of the Agricultural Act of 
2014 amended the Export Apple Act to exempt apples shipped to Canada in 
bulk containers weighing more than 100 pounds from inspection 
requirements.

DATES: Effective August 26, 2014.

FOR FURTHER INFORMATION CONTACT: Jennie M. Varela, Marketing 
Specialist, or Christian D. Nissen, Regional Director, 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].

SUPPLEMENTARY INFORMATION: Section 10009 of the Agricultural Act of 
2014 amended section 4 of the Export Apple Act (7 U.S.C. 584) to add an 
exemption for apples shipped to Canada in bulk containers and add a 
definition for bulk container to section 9 of the Export Apple Act (7 
U.S.C. 589).
    The Export Apple Act (Act) promotes the foreign trade of U.S. grown 
apples by authorizing the implementation of regulations with minimum 
quality, container marking, and inspection requirements. These 
amendments to the Act require amendments to the regulations in 7 CFR 
part 33.
    Sections 33.10 and 33.11 of the regulations require, in part, that 
apples shipped to any foreign destination must meet minimum 
requirements and be inspected by the Federal or Federal-State 
Inspection Service. Section 33.12 specifies apples not subject to 
regulation.
    This rule implements the amendments to the Act by adding a new 
Sec.  33.8 (Bulk container) under ``Definitions'' to define a bulk 
container as a container that contains a quantity of apples weighing 
more than 100 pounds. This action also revises Sec.  33.12 by adding an 
additional paragraph exempting bulk shipments to Canada from all 
requirements under this part.
    Thus, any bulk container of apples being shipped to Canada is 
exempt from the minimum requirements and inspection provisions. 
Inspection would still be required for apples shipped in containers of 
less than 100 pounds that are not otherwise exempt.
    In an interim rule published in the Federal Register on April 4, 
2014, and effective on April 7, 2014, (79 FR 18765, Doc. No. AMS-FV-14-
0022, FV14-33-1 IR), Sec.  33.8 was added to the regulations to define 
a bulk container and Sec.  33.12 was revised by adding an additional 
paragraph exempting bulk shipments to Canada from all requirements 
under part 33.

Executive Order 12866 and Executive Order 13563

    Executive Orders 12866 and 13563 direct agencies to assess all 
costs and benefits of available regulatory alternatives and, if 
regulation is necessary, to select regulatory approaches that maximize 
net benefits (including potential economic, environmental, public 
health and safety effects, distributive impacts and equity). Executive 
Order 13563 emphasizes the importance of quantifying both costs and 
benefits, reducing costs, harmonizing rules and promoting flexibility. 
This action has been designated as a ``non-significant regulatory 
action'' under section 3(f) of Executive Order 12866. Accordingly, the 
Office of Management and Budget (OMB) has waived the review process.

Executive Order 13175

    This action has been reviewed in accordance with the requirements 
of Executive Order 13175, Consultation and Coordination with Indian 
Tribal Governments. The review reveals that this regulation would not 
have substantial and direct effects on Tribal governments and would not 
have significant Tribal implications.

Executive Order 12988

    This final rule has been reviewed under Executive Order 12988, 
Civil Justice Reform. It is not intended to have retroactive effect and 
shall not abrogate nor nullify any other statute, whether State or 
Federal, dealing with the same subjects as this Act; but is intended 
that all such statutes shall remain in full force and effect except 
insofar as they are inconsistent herewith or repugnant hereto (7 U.S.C. 
587).
    The Act provides administrative proceedings that must be exhausted 
before parties may file suit in court. Pursuant to 7 U.S.C. 586 and 
sections 33.13 and 33.14 of the regulations, any person subject to the 
Act may file with USDA a request for hearing, along with a written 
responsive answer to alleged violations of the provisions of the Act 
and regulations, no later than 10 days after service of notice of 
alleged violations, and is afforded the opportunity for a hearing on 
said request. After opportunity for hearing, the Secretary is 
authorized to refuse the issuance of certificates under this Act for 
periods not exceeding 90 days.

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 
businesses subject to such actions in order that small businesses will 
not be unduly or disproportionately burdened.
    Small agricultural service firms, including shippers, exporters, 
and

[[Page 50538]]

carriers, are defined by the Small Business Administration (SBA) 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 (13 CFR 121.201).
    The industry estimates there are approximately 7,500 apple 
producers in the U.S. The National Agricultural Statistics Service 
reports the 2012 apple crop was valued at nearly $3.1 billion. Assuming 
a normal distribution, most apple producers can be classified as small 
entities. According to industry statistics, there are approximately 60 
apple exporters subject to regulation under the Act. Foreign 
Agricultural Service data estimates the value of fresh apple exports to 
Canada at approximately $190 million. Assuming a normal distribution, 
the majority of apple exporters are small businesses. Based on the 
above calculations, it can be concluded that the majority of apple 
producers and exporters may be classified as small entities.
    This rule is issued under the authority of the Export Apple Act, as 
amended (7 U.S.C. 584). This rule continues in effect a rule that 
revised ``Regulations Issued Under Authority of the Export Apple Act'' 
(7 CFR part 33). In accordance with the provisions of section 10009 of 
the Agricultural Act of 2014, this action exempts apples shipped to 
Canada in bulk containers from the minimum requirements and inspection 
provisions issued under the Act. This action also adds the definition 
of ``bulk container'' as a container that contains a quantity of apples 
weighing more than 100 pounds.
    In accordance with the Paperwork Reduction Act of 1995 (44 U.S.C. 
Chapter 35), the information collection requirements have been 
previously approved by the Office of Management and Budget (OMB) and 
assigned OMB No. 0581-0143 (Export Fruit Regulations). No changes in 
those requirements as a result of this action are necessary. Should any 
changes become necessary, they would be submitted to OMB for approval.
    This rule will not impose any additional reporting or recordkeeping 
requirements on either small or large apple shippers, exporters, or 
carriers.
    AMS is committed to complying with the E-Government Act, to promote 
the use of the internet and other information technologies to provide 
increased opportunities for citizen access to Government information 
and services, and for other purposes.
    USDA has not identified any relevant Federal rules that duplicate, 
overlap or conflict with this final rule.
    Comments on this interim rule were required to be received on or 
before June 3, 2014. 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/#!documentDetail;D=AMS-FV-14-0022-0001.
    After consideration of all relevant material presented, it is found 
that finalizing the interim rule, without change, as published in the 
Federal Register (79 FR 18765, April 4, 2014) will tend to effectuate 
the declared policy of the Act.

List of Subjects in 7 CFR Part 33

    Apples, Exports, Reporting and recordkeeping requirements.

PART 33--REGULATIONS ISSUED UNDER AUTHORITY OF THE EXPORT APPLE ACT

    Accordingly, the interim rule that amended 7 CFR part 33 and that 
was published at 79 FR 18765 on April 4, 2014, is adopted as a final 
rule, without change.

    Dated: August 20, 2014.
Rex A. Barnes,
Associate Administrator, Agricultural Marketing Service.
[FR Doc. 2014-20116 Filed 8-22-14; 8:45 am]
BILLING CODE 3410-02-P