[Federal Register Volume 81, Number 190 (Friday, September 30, 2016)]
[Rules and Regulations]
[Pages 67091-67092]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2016-23502]


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DEPARTMENT OF AGRICULTURE

Agricultural Marketing Service

7 CFR Part 906

[Doc. No. AMS-SC-16-0021; SC16-906-1 FIR]


Oranges and Grapefruit Grown in Lower Rio Grande Valley in Texas; 
Relaxation of Container and Pack Requirements

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 implementing a recommendation 
from the Texas Valley Citrus Committee (Committee) that relaxed the 
container and pack requirements prescribed under the marketing order 
for oranges and grapefruit grown in the Lower Rio Grande Valley in 
Texas (order). The Committee locally administers the order and is 
comprised of producers and handlers of Texas citrus operating within 
the area of production. The interim rule added the word ``approximate'' 
to the size specifications of three regulated containers to make the 
language consistent with other containers specified under the order. 
This change provides uniformity in the descriptions of containers and 
helps prevent potential compliance violations stemming from slight 
variations in container dimensions.

DATES: Effective October 3, 2016.

FOR FURTHER INFORMATION CONTACT: Doris Jamieson, 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 and agreement regulations by viewing a guide at 
the following Web site: http://www.ams.usda.gov/rules-regulations/moa/small-businesses; or by contacting Richard Lower, 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

[[Page 67092]]

conformance with Executive Orders 12866, 13563, and 13175.
    The handling of oranges and grapefruit grown in the Lower Rio 
Valley in Texas is regulated by 7 CFR part 906. Prior to this change, 
the descriptions of three of the authorized containers specified exact 
dimensions whereas the remainder of the containers provide approximate 
dimensions. The Committee noted that with the containers with specific 
dimensions, container manufacturers could inadvertently generate 
containers that have a small variance in size from the specific 
requirements of the order, causing a handler to be out of compliance 
with order requirements. Therefore, this rule continues in effect the 
rule that added the word ``approximate'' in the description of the 
container sizes of the three containers with specific dimensions to 
make the language consistent with the descriptions of the other 
containers.
    In an interim rule published in the Federal Register on June 15, 
2016, and effective on June 16, 2016, (81 FR 38881, Doc. No. AMS-SC-16-
0021, SC16-906-1 IR), Sec.  906.340 paragraphs (a)(1)(i) through (iii) 
were amended by adding the word ``approximate'' to the size 
specifications of three regulated containers.

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. 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 
order. Small agricultural producers are defined by the Small Business 
Administration (SBA) 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 average grower price for Texas 
citrus during the 2014-15 season was around $9.53 per box, and total 
shipments were near 7.8 million boxes. Using the average grower price 
and shipment information, and assuming a normal distribution of 
production among all producers, the majority of producers would have 
annual receipts of less than $750,000. In addition, based on Committee 
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 changed Sec.  906.340 
of the container, pack, and container marking requirements prescribed 
under the order. This rule adds the word ``approximate'' to the size 
specifications of three regulated containers to make the language 
consistent with other containers specified under the order. This change 
provides uniformity in the descriptions of containers and helps prevent 
potential compliance violations stemming from slight variations in 
container dimensions. Authority for the change is provided in Sec.  
906.40.
    This action is not expected to impose any additional costs on the 
industry. However, it is anticipated that this action will have a 
beneficial impact. Adding the word ``approximate'' to the dimension 
requirements for the containers with specific dimensions could prevent 
possible order violations or potential extra costs associated with 
replacing incorrect cartons should container manufacturers 
inadvertently generate containers that do not meet order requirements. 
The benefits of this rule are expected to be equally available to all 
fresh orange and grapefruit growers and handlers, regardless of their 
size.
    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 rule will not impose any additional reporting or recordkeeping 
requirements on either small or large Texas citrus 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. In addition, USDA 
has not identified any relevant Federal rules that duplicate, overlap 
or conflict with this rule.
    Further, 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. Like all 
Committee meetings, the November 17, 2015, meeting was a public 
meeting, and all entities, both large and small, were able to express 
their views on this issue.
    Comments on the interim rule were required to be received on or 
before August 15, 2016. One comment was received in support of the 
change. The commenter stated that it made sense to add the word 
``approximate'' to the rest of the containers to make them consistent 
with the other containers under the order. The commenter also made 
other comments which are not relevant to this rulemaking action. 
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: https://www.regulations.gov/document?D=AMS-SC-16-0021-0001.
    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 (81 FR 38881, June 15, 2016) 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--[AMENDED]

0
Accordingly, the interim rule that amended 7 CFR part 906 and that was 
published at 81 FR 38881 on June 15, 2016, is adopted as a final rule, 
without change.

    Dated: September 23, 2016.
Elanor Starmer,
Administrator, Agricultural Marketing Service.
[FR Doc. 2016-23502 Filed 9-29-16; 8:45 am]
 BILLING CODE 3410-02-P