[Federal Register Volume 81, Number 51 (Wednesday, March 16, 2016)]
[Rules and Regulations]
[Pages 13967-13968]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2016-05841]



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  Federal Register / Vol. 81, No. 51 / Wednesday, March 16, 2016 / 
Rules and Regulations  

[[Page 13967]]



DEPARTMENT OF AGRICULTURE

Agricultural Marketing Service

7 CFR Part 906

[Doc. No. AMS-FV-15-0035; FV15-906-1 FIR]


Oranges and Grapefruit Grown in Lower Rio Grande Valley in Texas; 
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 implemented a recommendation 
from the Texas Valley Citrus Committee (Committee) to decrease the 
assessment rate established for the 2015-16 and subsequent fiscal 
periods from $0.11 to $0.08 per 7/10-bushel carton or equivalent of 
oranges and grapefruit handled under the marketing order (order). The 
Committee locally administers the order and is comprised of producers 
and handlers of oranges and grapefruit operating within the area of 
production. The interim rule decreased the assessment rate to more 
closely align assessment income to the lower budgeted expenses.

DATES: Effective March 17, 2016.

FOR FURTHER INFORMATION CONTACT: Abigail Campos, Marketing Specialist, 
or Christian D. Nissen, Regional Director, Southeast Marketing Field 
Office, Marketing Order and Agreement Division, Specialty Crops 
Program, AMS, USDA; Telephone: (863) 324-3375, Fax: (863) 291-8614, 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/rules-regulations/moa/small-businesses; or by contacting Antoinette Carter, Marketing Order and 
Agreement Division, Specialty Crops 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 
Agreement and Order No. 906, as amended (7 CFR part 906), regulating 
the handling of oranges and grapefruit grown in the Lower Rio Grande 
Valley in Texas, 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 Orders 12866, 13563, and 13175.
    Under the order, orange and grapefruit 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 oranges and grapefruit for the entire fiscal period, and 
continue indefinitely until amended, suspended, or terminated. The 
Committee's fiscal period begins on August 1, and ends on July 31.
    In an interim rule published in the Federal Register on November 
16, 2015, and effective on November 17, 2015, (80 FR 70669, Doc. No. 
AMS-FV-15-0035; FV15-906-1 IR), Sec.  906.235 was amended by decreasing 
the assessment rate established for Texas citrus for the 2015-2016 and 
subsequent fiscal periods from $0.11 to $0.08 per 7/10-bushel carton or 
equivalent handled. The decrease in the assessment rate more closely 
aligns assessment income to the lower budget.

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 
businesses 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 170 producers of oranges and grapefruit in 
the production area and 13 handlers subject to regulation under the 
marketing order. The Small Business Administration defines small 
agricultural producers as those having annual receipts of less than 
$750,000, and small agricultural service firms are defined as those 
whose annual receipts are less than $7,500,000 (13 CFR 121.201).
    According to Committee data and information from the National 
Agricultural Statistics Service, the weighted average grower price for 
Texas citrus during the 2013-14 season was around $13.89 per box and 
total shipments were near 7.4 million boxes. Using the weighted average 
price and shipment information, and assuming a normal distribution, the 
majority of growers would have annual receipts of less than $750,000. 
In addition, based on available information, the majority of handlers 
have annual receipts of less than $7,500,000 and could be considered 
small businesses under SBA's definition. Thus, the majority of Texas 
citrus producers and handlers 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 2015-16 and subsequent fiscal periods from $0.11 to 
$0.08 per 7/10-bushel carton or equivalent of Texas citrus. The 
Committee unanimously recommended 2015-16 expenditures of $701,148 and 
an assessment rate of $0.08 per 7/10-bushel carton or equivalent 
handled. The assessment rate of $0.08 is $0.03 lower than the previous 
rate. The quantity of assessable oranges and grapefruit for the 2015-16 
fiscal period is estimated at 8 million 7/10-bushel cartons or 
equivalent. Thus, the $0.08 rate should provide $640,000 in assessment 
income. Income derived from handler assessments along with interest 
income and funds from Committee's authorized reserve, will be adequate 
to cover budgeted expenses.

[[Page 13968]]

The Committee considered its expenses and recommended decreasing the 
assessment rate to more closely align assessment income to the lower 
budget.
    This rule continues in effect the action that decreased the 
assessment obligation imposed on handlers. Assessments are applied 
uniformly on all handlers and decreasing the assessment rate reduces 
the burden on handlers.
    In addition, the Committee's meeting was widely publicized 
throughout the Texas citrus industry and all interested persons were 
invited to attend the meeting and participate in Committee 
deliberations on all issues. Like all Committee meetings, the June 24, 
2015, 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 Fruit Crops.'' 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 action imposes no additional reporting or recordkeeping 
requirements on either small or large Texas orange and grapefruit 
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 January 15, 2016. 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-15-0035-0001.
    This action also affirms information contained in the interim rule 
concerning Executive Orders 12866, 12988, 13175, and 13563; 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 (80 FR 70669, November 16, 2015) will tend to 
effectuate the declared policy of the Act.

List of Subjects in 7 CFR Part 906

    Grapefruit, Marketing agreements, Oranges, Reporting and 
recordkeeping requirements.

PART 906--ORANGES AND GRAPEFRUIT GROWN IN LOWER RIO GRANDE VALLEY 
IN TEXAS

0
Accordingly, the interim rule amending 7 CFR part 906, which was 
published at 80 FR 70669 on November 16, 2015, is adopted as a final 
rule, without change.

    Dated: March 10, 2016.
Elanor Starmer,
Acting Administrator, Agricultural Marketing Service.
[FR Doc. 2016-05841 Filed 3-15-16; 8:45 am]
BILLING CODE 3410-02-P